By Pauline Hughes, Trainee Solicitor.
This month has seen an increase to employment related statutory limits, and separately, increases to the levels of compensation that can be awarded to successful claimants in cases decided upon by Employment Tribunal.
Statutory rates increase
The updated statutory rates are as set out below.
The National Minimum Wage has increased:
- National Living Wage, for those 25 and older: to £8.21 per hour;
- for those between the ages of 21 and 24: to £7.70 per hour;
- for those between the ages of 18 and 20: to £6.15 per hour; and
- for those between the ages of 16 and 18: to £4.35 per hour.
Statutory Sick Pay (SSP) has increased to £94.25 per week.
Statutory maternity pay, statutory paternity pay, statutory shared parental pay and statutory adoption pay has increased to £148.68 per week.
Compensation awards at the Employment Tribunal
Successful claimants in (most) unfair dismissal cases can be awarded compensation of the lower of 52 weeks’ actual gross pay or the (recently increased) statutory limit of £86,444.
Separately, awards for successful discrimination claims are uncapped, but compensation is generally awarded with reference to ‘bands’ of award, with new thresholds as follows:
- Lower band (less serious cases): £900 to £8,800;
- Middle band (for cases not justifying an upper band award): £8,800 to £26,300;
- Upper band (will be awarded in the most serious cases): £26,300 to £44,000; and
- Exceptional cases: award may exceed £44,000.
We will publish updates on any further changes to these rates as they arise. However, if you would like to discuss the increased rates, or if we can provide any other support or assistance on any employment law matters, please do not hesitate to contact a member of the team on 0141 331 5150.