With an estimated threefold increase in Employment Tribunal applications over the past decade, it is clear that there is much work to do in order to streamline the Employment Tribunal process and reduce the sheer volume of claims.

Chris Wiper, Senior Partner at Close Thornton Solicitors in Darlington takes a look at the new rules which introduce tougher penalties to both employers and employees where they are bringing unreasonable cases which have little or no chance of success.

Employment Tribunal and Employment Appeal Tribunal rules and procedures have long been criticised. Employers have all too often found themselves at the sharp end of a system designed to be accessible to all yet one which is often misused by unscrupulous employees with unmeritorious claims.

Tribunals also place unacceptable burdens on businesses and the taxpayer. Under the new rules, those people pursuing a claim with no reasonable prospect of success, or who indulge in time-wasting tactics will face heavy financial penalties.

The changes include:

- A substantial increase in costs that can be awarded for unreasonable or vexatious behaviour - jumping from £500 to £10,000
- Power for tribunals to strike out poorly based claims, which have little chance of success
- Increasing the maximum amount of the deposit, which may be imposed following a pre-hearing review from £150 to £500
- Strengthening the tribunal’s management of cases.

As with most changes in legislation, the proof will lie in practice. It is hoped that the amendments to the system may well succeed in deterring some of the less desirable claims and tactics often used in recent times.

Employment Tribunals are time-consuming and expensive for employers. Chris Wiper offers the following advice to employers:

- Keep accurate records of meetings and discussions
- Ensure that the ACAS grievance and disciplinary codes of practice are followed
- Don’t do anything until you have consulted your legal advisor

For further information about any aspect of employment law, please contact Chris Wiper, Senior Partner, Close Thornton Solicitors on 01325 466461.

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