Proposed increase to employment tribunal award limits in Jersey

Compensation limits in Employment and Discrimination Tribunal claims in Jersey could be raised after ministers were asked to increase existing caps by a cross-industry consultative body.

If approved and enacted, the changes recommended by the Jersey Employment Forum could see the maximum awards for unfair dismissal, discrimination-related claims, statutory and contractual breaches all increased.

The recommendation to Social Security Minister Lyndsay Feltham by the Jersey Employment Forum – a consultative body of employment law experts and representatives of employers and employees – came after the forum was asked by the previous minister to review and consult on compensation levels.

The four main recommendations of the forum were:

• The compensation for unfair dismissal (currently calculated on a sliding scale from 4 to 26 weeks' pay) should range from 4 weeks' pay for employees with one year's service to 36 weeks' pay for employees with fifteen years' service or more.  In addition the employment tribunal should have a discretion to award an uplift in award of up to 25% where the employers conduct has been particularly bad.
• The limit on compensation for discrimination claims (currently capped at £10,000, with a maximum award of £5,000 for hurt and distress) should be replaced with a cap of whichever is greater of £50,000 or 52 weeks' pay, of which up to £30,000 may be awarded for hurt and distress.
• The cap for a breach of statutory rights to be increased from 4 weeks' to 8 weeks' pay.
• The jurisdictional limit in respect of a contractual breach in the employment tribunal to rise from £10,000 to £30,000.

The full report can be found here.