Limits on tribunal awards will increase from 6 April 2017 as follows:

  • The maximum compensatory award for unfair dismissal which a tribunal can order will increase from £78,962 to £80,541.
  • The cap on a week's pay (used to calculate the unfair dismissal basic award and statutory redundancy pay) will increase from £479 to £489.
  • The limit on guarantee payments payable to employees in respect of a single day will increase from £26 to £27.
  • The minimum basic award for certain categories of unfair dismissal (dismissals for reasons of trade union membership or activities, health and safety duties, pension scheme trustee duties or acting as an employee representative or workforce representative) will increase from £5,835 to £5,970.

The revised limits will apply to employees whose effective date of termination is on or after 6 April 2017. Where the effective date of termination falls before 6 April 2017, the existing limits will continue to apply.