Remedies Available in Employment Tribunal Cases

When an employment tribunal finds in favour of a claimant, it can award a range of remedies to address the harm caused by unlawful treatment at work. These remedies are designed to compensate for financial losses, correct unfair workplace outcomes, and, in some cases, require specific actions. Understanding the types of remedies available helps claimants, respondents, solicitors and members of the public grasp what outcomes tribunals can order and what practical steps may follow a successful claim. This article explains key remedies, how they apply to different types of claims, statutory limits, procedural considerations, and common questions.

What a Remedy Is

In the context of employment tribunals, a remedy is the tribunal's order to address a legal wrong after finding in favour of a claimant. Remedies may take the form of compensation (money awards), reinstatement or re‑engagement (return to work), specific performance or recommendations, and interest on awards. The type of remedy available depends on the nature of the claim and statutory provisions that govern employment rights.

Money Awards (Compensation)

Compensation for Financial Loss

Compensation is the most common remedy. Tribunals can order a respondent (usually the employer) to pay money to a successful claimant to make good financial losses caused by unlawful treatment, such as:

• Unpaid wages, holiday pay, or notice pay;
• Loss of earnings resulting from dismissal; and
• Future financial loss until a claimant can reasonably find alternative work.

For example, in unfair dismissal claims, compensation consists of a basic award (based on age, length of service and gross weekly pay) and a compensatory award (for actual financial loss). Tribunals calculate compensatory awards by considering past and future losses.

Injury to Feelings and Distress

In discrimination claims, tribunals can award compensation not just for financial loss, but also for injury to feelings and distress arising from discriminatory treatment. There is no statutory cap on these awards for discrimination claims, and tribunals use guidelines (often referred to as Vento bands) to assess appropriate amounts based on the seriousness of the conduct.

Interest on Compensation

Tribunals often award interest on compensation from the date of judgment until payment is made, to reflect the time value of money and deter delay. The rate and period of interest are set by statutory provisions.

Remedies for Unfair Dismissal

Reinstatement

If a tribunal finds that dismissal was unfair, it may order reinstatement, meaning the claimant is given their former job back with continuity of service as if the dismissal had never occurred. Although rare in practice, this remedy is recognised in law and tribunals must consider it before moving to other options.

Re‑engagement

If reinstatement is impractical, a tribunal may order re‑engagement, meaning the claimant is offered a comparable job or suitable alternative employment with the same employer or an associated employer. This remedy is also seldom used but is available where appropriate.

Compensation

Where reinstatement or re‑engagement is not ordered or is impractical, the tribunal awards compensation instead. The compensatory award for unfair dismissal covers financial loss and is subject to statutory limits (for example, a cap on weeks' pay or a maximum award figure, which changes periodically).

Remedies in Discrimination Claims

Financial Loss and Injury to Feelings

For discrimination under the Equality Act 2010, tribunals can award money to compensate for:

• Pecuniary losses (e.g. lost earnings, benefits); and
• Non‑pecuniary losses (injury to feelings) caused by discrimination.

Unlike unfair dismissal, there is no overall cap on discrimination compensation, and awards for injury to feelings can reach substantial levels in serious cases.

Recommendations

Tribunals may also make recommendations requiring the employer to take specific action to reduce the continuing effects of discrimination, such as updating equality policies, providing training, or issuing references. These recommendations aim to prevent further unlawful conduct.

Other Remedies and Orders

Orders for Money Owed

In claims for unpaid wages, holiday pay, notice pay, redundancy pay or unpaid contractual entitlements, tribunals can order payment of the sums owed plus any related losses. These awards mirror the actual amounts due to the claimant.

Interim Relief

In limited unfair dismissal cases (including some whistleblowing or trade union activity claims), claimants can apply for interim relief before the final hearing. Interim relief may order:

• Reinstatement or re‑engagement pending the final tribunal decision; or
• Continuing contract terms, such as interim pay.

Applications for interim relief must be made within 7 days of dismissal and are intended to protect financial stability pending final judgment.

Practical Steps in Remedies

Remedy Hearings

Tribunals may list a remedy hearing after determining liability. While straightforward cases may decide remedies at the end of the final hearing, complex matters often require a separate hearing to assess compensation, schedules of loss, and evidence of financial and non‑financial losses.

Schedule of Loss

Claimants typically prepare a schedule of loss detailing all claimed financial losses, including past and future earnings, pension losses, benefits losses and any associated costs. The tribunal uses this schedule as a basis for calculating compensatory awards. - (implied from multiple sources including compensation guidance)

Mitigation and Adjustments

Tribunals expect claimants to mitigate losses after dismissal by seeking alternative employment. Failure to demonstrate reasonable mitigation efforts can reduce compensation. Tribunals may also reduce awards for contributory conduct or failure to follow grievance procedures.

Limits and Caps on Remedies

Statutory Caps

Many remedies, particularly for unfair dismissal, are subject to statutory caps, such as:

• a maximum number of weeks' pay used in calculating compensatory awards; and
• a statutory maximum award figure for compensatory awards, updated periodically.

These caps limit the financial exposure of employers but do not apply to many discrimination awards, where compensation is uncapped.

Enforcement of Tribunal Orders

Tribunals' remedy orders are enforceable. If an employer fails to comply with a monetary award, the claimant may pursue enforcement through the courts. Employers who ignore reinstatement or re‑engagement orders may face additional compensation and enforcement action.

Common Questions About Remedies

Can I get compensation for stress or hurt feelings?
In unfair dismissal claims alone, compensation for stress or upset is not generally awarded. However, in discrimination claims, tribunals can award money for injury to feelings and distress caused by unlawful discrimination.

Is reinstatement common?
Reinstatement and re‑engagement orders are legally available but rare in practice, as tribunals frequently find it impractical or undesirable to return former employees to previous roles.

Can a tribunal order punitive damages?
Employment tribunals do not award punitive damages in the same way as some other courts. Remedies focus on compensation, orders to correct workplace status, and recommendations, not punishments.

Key Takeaways

Employment tribunals in England and Wales have a range of remedies they can award when a claim succeeds. The most common is compensation for financial loss and, in discrimination cases, for injury to feelings. In unfair dismissal claims, tribunals must consider reinstatement or re‑engagement before awarding compensation, although these orders are rare. Claims for unpaid entitlements lead to orders to pay what is owed, while interim relief may protect claimants awaiting a final hearing. Remedies are subject to statutory limits in some cases, while others remain uncapped. Understanding the scope of remedies and the processes for calculating and enforcing awards helps litigants manage expectations and prepare effectively for what may follow a successful tribunal claim.