The Government yesterday announced the two key changes that they intend to introduce to encourage employers to recruit new staff with effect from April 2012. Firstly, the intention is to increase the period of continuous service required to bring an unfair dismissal claim from one to two years. Secondly, fees are to be introduced for the issuing of Tribunal claims. Both of these have been widely predicted for several months.
Whether either of these changes is likely to have the desired effect is debatable according to the Firm’s Head of Employment Law, Phil Kerridge.
“Based on previous statistics, the increase of the period from one to two years will effect about 5% of cases, so on the face of it that reduction is not as significant as you might expect.
Set against that, it has to be remembered that the increase will have no bearing on discrimination cases, which will continue to have no requirements for any continuity of service. Bearing in mind the recent abolition of the default retirement age, I can see a significant increase in age discrimination claims, so I am not convinced that what has been proposed will be sufficient to stimulate employers into recruiting new staff.
Whether the payment of a fee will deter potential claimants remains to be seen, although it should certainly discourage the more speculative claims.”
If you wish to discuss the proposed changes or any other employment law issue, please contact Phil on 01603 675603 or at pnk@ogers-norton.co.uk. If you wish to subscribe to Phil’s monthly newsletter, please click here.
Whether either of these changes is likely to have the desired effect is debatable according to the Firm’s Head of Employment Law, Phil Kerridge.
“Based on previous statistics, the increase of the period from one to two years will effect about 5% of cases, so on the face of it that reduction is not as significant as you might expect.
Set against that, it has to be remembered that the increase will have no bearing on discrimination cases, which will continue to have no requirements for any continuity of service. Bearing in mind the recent abolition of the default retirement age, I can see a significant increase in age discrimination claims, so I am not convinced that what has been proposed will be sufficient to stimulate employers into recruiting new staff.
Whether the payment of a fee will deter potential claimants remains to be seen, although it should certainly discourage the more speculative claims.”
If you wish to discuss the proposed changes or any other employment law issue, please contact Phil on 01603 675603 or at pnk@ogers-norton.co.uk. If you wish to subscribe to Phil’s monthly newsletter, please click here.
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