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Employment tribunal activity on the rise

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The number of claims taken on by employment tribunals has soared by 56% over the last year largely due to a significant increase in the number of multiple claimant cases brought by unions.

 
According to official figures published by the Tribunal Service, the amount of claims accepted against employers in England, Scotland and Wales rose to 236,100 in fiscal year 2009-2010 from 151,000 in the previous 12 months, making it the highest number on record.
 
The statistics also showed a steep rise in the number of claims associated with the Working Time Directive, with cases jumping a huge 297% to 95,200 over the same period. Claims associated with redundancy pay likewise shot up by 76% to 19,000, while unfair dismissals cases increased by 9% to 57,400.
 
Age discrimination claims also jumped by 37% to 5,200, while equal pay cases fell by 18% to 37,400.
 
The number of disposals – that is cases withdrawn, settled, dismissed or ruled on at a final hearing – grew by 22%, but was unable to keep pace with the number of new claims being lodged – more than 40,000 remain outstanding, creating a backlog. As a result, the number of cases in which the first hearing took place within 26 weeks of a claim being received fell to just under two thirds, down from 74%.
 
Owen Warnock, a partner at law firm Eversheds, told the media that the “dramatic” rise in overall case numbers could mainly be attributed to a 90% increase in multiple claimant cases. “Unions are pursuing more claims by using the tribunal route rather than industrial action, which is quite common in a recession,” he said. Because employers were able to justify pay freezes and other austerity measures during a downturn to save jobs, multiple claimant cases became the union’s “main weapon”, Warnock added.
 
 
 

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One Response

  1. Does that mean last year’s change did not work?

    Most of the statistics did not surprise me but the 9% rise in unfair dismissal claims is of interest. Does that mean last year’s repeal of the 2004 statutory procedures relating to disciplinary and grievance and the introduction of the ACAS as code has not worked? I thought this change was introduced to reduce the amount of unfair dismissal claims?