Companies
have been given extra time to ensure their disciplinary processes are up to speed, thanks
to a delay in implementing new laws governing unfair dismissal claims, say leading
Stratford solicitors.
The new laws will give staff the right to claim unfair dismissal after just one year in
employment and will more than quadruple the amounts that can be awarded to a maximum of
£50,000.
They were originally due for implementation on 1 April. Now, as part of the Employment
Rights Bill, they are expected to become law later this year.
However, Lodders warn the changes could place an immense burden on many small and
medium-sized businesses and particularly on those with only a few employees
Lodders commercial litigation partner, Michael Wakeling, said:
"When the changes do become law, the increases in the potential awards may well
mean more companies feel compelled to contest unfair dismissal cases and they will need to
be able to prove that they have followed all the correct and necessary steps leading up to
dismissal."