2008 Increase in Tribunal Limits

The Employment Rights (Increase of Limits) Order 2007, SI 2007/3570

Each year at around this time the Government announces the latest increase in tribunal limits. These apply to events on or after the 1st February 2008. This increase is a result of a simple exercise in applying inflation to the old figures. The Government’s own explanation states that ‘this Order increases [the limits], in line with the increase in the retail prices index between September 2006 and September 2007 (+3.9%)’.

The two most important increases are that the limit on the amount of compensatory award for unfair dismissal increases from the current £60,600 to £63,000. Secondly, the maximum amount of ‘a week’s pay’ for the purpose of calculating a redundancy payment or for various awards including the basic or additional award of compensation for unfair dismissal increases from the current £310 to £330. The changes take effect when the effective date of termination of employment is on or after 1st February 2008.

[2020 update: an annual increase has happened every year since and, for example, in 2020 they are £88,519 and £538 per week. That weekly maximum wage is the weekly gross pay of a person earning £27,820 which is about average wages.]