Employment Rights - Statutory Limits

The limits on payments and awards made to workers in certain situations increased from 1 February 2009, where the event giving rise to the entitlement to the payment arose on or after this date. The increased limits affect statutory redundancy payments and compensatory awards for unfair dismissal.

The main increases include the:

  • minimum compensation for unfair dismissal - £4,700 (£ 4,400)
  • limit on the amount of the compensatory award for unfair dismissal £66,200 (£63,000)
  • maximum amount of a week's pay for the purpose of calculating the basic or additional award of compensation for unfair dismissal or redundancy payment - £350 (£330).

    • The Business Link website includes a useful calculator.

    Internet links:

    Statutory instrument and Business link calculator

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