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Enforcement of tribunal awards and settlements

The Department of Business, Innovation and Skills has published its form for claiming penalties from employers for non-payment of tribunal awards or settlements. Under the new s37A to 37Q of the Employment Tribunals Act, a Claimant who has not been paid any sums under a settlement or tribunal award can ask BIS to issue a penalty of 50% of the outstanding amount, subject to a minimum of £100 and a maximum of £5,000.

Comment

Employment Solicitor Chris Dobbs adds, "We predict that this new piece of legislation will be largely unused. A claimant is very unlikely to use it, as there will be no incentive to do so. This is because the penalty an employer will have to pay will go to the tribunal system and not the claimant."

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