Employees are protected from
being unfairly dismissed, providing they have been employed
for at least 1 year. There are limited exceptions, for example
where the claim relates to sex or race discrimination, where
no time period applies.
To successfully defend an unfair dismissal claim, the onus
of proof is on the employer to show that the reason, or if
more than one, then the principle reason for dismissing an
employee falls into one of the categories set out in the Employment
Rights Act 1996.
These categories are as follows:
The
employee lacked capability or qualification
The
dismissal was a result of the conduct of the employee
The
continuation of employment would contravene a statute
Some
other substantial reason
Unless the
employer proves one of the above, the termination of employment
will be deemed to have been unfair. Even if the employer does
prove that the case comes under one of the above categories,
it is still up to the Employment Tribunal to decide "in
accordance with equity and the substantial merits of the case"
whether the dismissal was fair or unfair. For example, in
conduct cases, it will decide whether the dismissal was within
the range of reasonable responses of that employer.
The Tribunal will also take into account whether or not the
employer followed proper procedures on dismissing the employee.
Failure to follow the Standard Dismissal and Disciplinary
Procedures as set out in the Employment Act 2002 (Dispute
Resolution) Regulations 2004 may make the dismissal automatically.
The minimum standard dismissal procedure includes providing
notice of intended dismissal, meeting with the employee prior
to the dismissal and providing the right to appeal.
If the employer fails to comply with the new statutory procedures,
then the Tribunal can increase any award which it makes to
the employee by 10% and may, if it considers it just and equitable,
increase it by a further amount of up to 50%.
From 1st February 2008, the maximum amount that can be awarded as compensation for Unfair Dismissal is £63,000. This is in addition to the basic award which can be ordered by the Tribunal up to a maximum of £9,900.
In some cases, there is no cap on the compensation that can
be awarded. These include cases of sex and race discrimination,
where the employee was trying to assert a statutory right,
or where he or she is dismissed for making a protected disclosure
under the Public Interest Disclosure Act 1998.
In making an award for compensation in these cases, an Employment
Tribunal has the power to reduce both the basic award and
the compensatory award if it finds an employee's conduct contributed
to the situation.
Other aspects of
UK employment law for employees include: