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Government proposes Far reaching Tribunal Reform Agenda

The Government has announced that it is considering ways to radically streamline the Employment Tribunal system.  The Government consultation document, headed "Resolving Workplace Disputes - A Consultation" concentrates on resolving disputes in the work place and modernising the Tribunal system. 

The aim of the consultation document is to save money for employers (and particularly small employers) to achieve early resolution of work place disputes and to ensure that where parties do need to come before an Employment Tribunal the process is as swift, user friendly and effective as possible. As such, the Government would like to make greater use of mediation and early conciliation via ACAS.    

The Government is proposing strengthening the Tribunal's powers to strike out weak claims. This will mainly be achieved by allowing a Judge to issue a deposit Order at any stage of the proceedings and to increase the amount of deposit and cost limits for weak and vexatious claims. The deposit limit may therefore be increased from £500 to £1,000 and the amount of costs that a Tribunal can summarily assess would be increased from £10,000 to £20,000.    

The Government is also proposing that employees provide additional information about the nature of the claim being made at an early stage, including monetary compensation to facilitate early resolution of disputes.  In addition,    Tribunal procedure may be advised to mirror the procedure which has been available in the Courts for some time, which is to allow parties to make a payment in to the Tribunal to settle a claim and for there to be cost consequences if that offer is rejected and then not subsequently "beaten".

It is proposed that witness statements will be taken as read in all hearings, ending the practice of witnesses reading from their statements. This could result in shorter hearings and save costs.

The Government is considering the introduction of fees and lengthening the qualification period of a claim of unfair dismissal from 1 year to 2 years.  However, this latter measure might be defeated on the ground that it is potentially discriminatory against women who tend to have shorter periods of employment than men.

Any employer interested in participating in the consultation can access the consultation documents via the website of the Department for Business Innovation and Skills.

 

For more information on the above or for advice on any other employment issue please contact our employment department on 020 7354 3000 or e-mail employment@colmancoyle.com

Author Profile: David Malamatenios

Date published: 17th February 2011

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