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An employer has the right to terminate his employees, but that right is limited. Employers must act reasonably and utilize a fair dismissal procedure when terminating an individual's employment. Only in very rare instances will an employer be justified in an immediate dismissal. The vast majority of the time the employer must issue warnings about unacceptable behaviour and investigate the circumstances before terminating an employee. Failure to take these steps may make an employee eligible to bring a claim for unfair dismissal in the Employment Tribunal.

In order to receive compensation for an unfair dismissal, you must meet two requirements. First, you must be under the normal age of retirement for that job. Second, you must have been employed by that employer for at least one year. The Employment Tribunal places time limits on applications for unfair dismissal. You must make your application within three of months of the date of termination. The Tribunal does have the discretion to extend the time limit in certain circumstances. In order to successfully defend himself against a claim of unfair dismissal, the employer must prove that the termination was justified. Specifically, the employer must show that the termination was made on the grounds of redundancy, illegality, conduct, capability or some other substantial reason.

In some cases, an employee's resignation is actually a form of unlawful termination. Constructive dismissal occurs when an employer makes an employee's job or working conditions so difficult or offensive that the employee resigns in order to be free of the situation. Actions that might lead to constructive dismissal include changing the employee's responsibilities or terms of employment, reassigning their job location or behaving in an abusive manner. With constructive dismissal, the employee is not considered to have resigned of their own free will. The employer is consider to have fundamentally breached the employment contract, and the employee has the right to bring a claim before the Employment Tribunal.

There are two categories of compensation awarded for a successful claim of unfair dismissal, the Basic Award and the Compensatory Award. The Basic Award is statutorily capped. The exact amount awarded depends on the employee's age and length of employment. The Compensatory Award is also capped. The amount awarded represents compensation for any financial losses suffered by the employee because of the dismissal, such as loss of benefits. In addition to unfair dismissal and constructive dismissal, the Employment Tribunal also hears claims of racial discrimination and sexual discrimination.

Judgments of the Employment Tribunal are not always final. In some cases, you can appeal the decision to the Employment Appeal Tribunal (EAT) in London or Edinburgh. For the most part, appeals are limited to points of law, and the EAT does not review the facts of the case. However, in a limited number of circumstances, new evidence may be brought forth. Legal aid to help cover the costs of bringing the appeal is available to qualifying applicants.

Contact us today for a free consultation about your case. You will speak directly with a solicitor who deals exclusively with employment disputes. There are no further obligations and the advice is confidential.