Director at Crossland Employment Solicitors
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Redundancy booms as employment tribunals rocket

A surge in tribunal cases looks set to continue with official employment tribunal statistics for April to June 2020 already rocketing, along with record numbers of employees made redundant in the three months to September, according to the ONS.

17th Nov 2020
Director at Crossland Employment Solicitors
Columnist
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Unemployment: Woman walks towards door of Job Centre Plus
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With the Coronavirus Job Retention Scheme (CJRS) winding down at the end of October, replaced by the less favourable JSS, many could no longer keep those employed who would have otherwise been made redundant. As employers began to make these roles redundant, it sparked an increase in dismissals. 

It’s hoped that the new extension of the CJRS will put a plaster on the bleed of job losses until January 2021. The government has hinted that the scheme, at this point, will require further contributions from employers beyond employer’s NI and pension contributions. 

As a record number of redundancies are inevitable, there will also be a correlating higher number of claims brought where employees believe that their redundancies have not been handled fairly. We expect that the next set of statistics for July to September 2020 will reflect this. 

How long for a redundancy case to be heard?

The length of time it is now going to take to hear cases is a key issue for employees and accountancy firms alike. With exceptions like interim relief cases and discreet contractual cases, complex or multi-day tribunal claims are taking 18 months plus to be heard. 

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Replies (10)

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Hallerud at Easter
By DJKL
17th Nov 2020 13:43

As always with redundancy,

"Oh, 'tain't what you do; it's the way that you do it
'Tain't what you do; it's the way that you do it
'Tain't what you do; it's the way that you do it
That's what gets results"

Follow the process carefully and if in doubt phone a friend (or maybe not a friend but a solicitor)

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Replying to DJKL:
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By Paul Crowley
18th Nov 2020 00:00

MDTP abandoned his post, or so I heard

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Replying to DJKL:
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By johnjenkins
18th Nov 2020 12:00

From fun boy three to ub40 eh.

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Replying to johnjenkins:
Hallerud at Easter
By DJKL
18th Nov 2020 16:50

I was more thinking its 1939 first incarnation.

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By IANTO
18th Nov 2020 09:21

I guess the introduction of the "Off Payroll" rules in April 2021 will also generate some claims. It wouldn't surprise me if those cases were given priority!

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By Ian McTernan CTA
18th Nov 2020 15:10

If the number of cases is approaching 500,000 then clearly there is something wrong with the employment system. Too many rights given to employees and too many lawyers eager to help make any claim, no matter how spurious. What percentage of firings does that figure represent?

I wonder what the success rate is on these claims?

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Replying to Ian McTernan CTA:
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By flightdeck
18th Nov 2020 15:49

Yes - that IS a crazy number isn't it ...can't all be due to employers not following due process or laws? The success rate would indeed be an interesting statistic. Does it cost £0 for the employee to decide to have a go?

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Replying to flightdeck:
Hallerud at Easter
By DJKL
18th Nov 2020 17:00

Wonder if a fair few are mere negotiating positions , claims lodged to get the other side talking which have subsequently been settled but nobody has bothered to advise the system.

Re employers not following due process , in my experience large numbers do not, they often try to bulldoze employees especially if they are not quite big enough to have their own in house team . Last year my daughter's boyfriend got the sharp end from one such decent sized but not big enough employer, I found him local employment solicitors (I know a lot of local solicitors so a couple of calls gets a recommendation to A N Other )and with a bit of fightback his ex employers decided to settle..

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Replying to DJKL:
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By IANTO
23rd Nov 2020 08:45

"his ex employers decided to settle"

yes, it's often cheaper for them to settle than the costs of defending a case. However, in relation to the "off payroll" regulations, there are political and financial implications and these might colour how any such claims resulting in those regulations might be handled.

For those of you who might have followed my old case, the compensation that was offered was less than half a year's potential annual increase in tax under IR35, so it was imperative that I obtained a legal judgement regarding my position. That judgement was that the engagement was one for services, i.e. not employed, and HMRC abandoned their proposed challenge to me under IR35.

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By AndrewV12
19th Nov 2020 10:28

I am not an expert on employment tribunals but I did listen to an episode of Adrian Goldberg Radio 5 investigates and one episode was about compensation for un-fair dismissal, the pay-outs were high, however the % of people that actually received their full or any pay-out was around 25%, Companies phoenixed, went in administration ......

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