The Government has sparked controversy by announcing a fee of up to £1,200 for taking claims to an employment tribunal. Unions branded the decision a "disgrace" and warned that workers
would be denied their right to justice, but business groups welcomed the
move - though complained that most claimants would be exempt from the
new rules.
Ministers pointed out that tribunals cost the taxpayer
more than £84 million a year, with no contribution from those taking
claims. Cases involving unpaid wages and redundancy pay will have
an initial fee of £160 and a charge of £230 if it goes to a hearing,
while those relating to unfair dismissal, discrimination complaints and
equal pay claims will have an issue fee of £250 and a hearing fee of
£950.
Justice Minister Jonathan Djanogly said: "It's not fair on
the taxpayer to foot the entire £84 million bill for people to escalate
workplace disputes to a tribunal. "We want people, where they can,
to pay a fair contribution for the system they are using, which will
encourage them to look for alternatives. "It is in everyone's
interest to avoid drawn-out disputes which emotionally damage workers
and financially damage businesses. That's why we are encouraging
quicker, simpler and cheaper alternatives like mediation."
TUC
general secretary Brendan Barber said: "It is vital that working people
have fair access to justice, but introducing fees for tribunals will
deter many - particularly those on low wages - from taking valid claims
to court. Many of the UK's most vulnerable workers will simply be priced
out of justice. Alexander Ehmann of the Institute of Directors,
said: "The IoD strongly supports the Government's decision to introduce
user fees for employment tribunals to make people think twice before
submitting vexatious or weak claims. Businesses are too often forced to
defend themselves against claims which have no merit, incurring heavy
costs in the process. "However, the IoD is concerned that under
current proposals many unemployed claimants will have their fees waived
despite having the means to pay. Even the Government accepts this could
mean that the majority of claimants are exempt from their new rules - a
result that would undermine the entire purpose."
Source: Press Association
