For employers who defend cases regardless of their merits, here is a word of caution. Financial penalties will apply for employers who lose their cases at the tribunal which carry 'aggravating features'.

While 'aggravating features' are not clearly defined, the Government suggested that tribunals would impose penalties where "the breach involves unreasonable behaviour, for example where there has been negligence or malice involved".  Tribunals are to have the power to fine employers up to £5,000 (payable to the Government) if they lose their case.  Like a parking fine, the penalty is halved if paid within 21 days of the tribunal's decision being sent to the employer.  The provisions relating to financial penalties on employers come into force in respect of any tribunal claim presented on or after 25th October 2013.