Employment Claim Statistics


Employment Claim Statistics

This just in from our good friends at Straight Solutions Ltd

You Couldn’t Make It Up

Statistically a business is far more likely to have an expensive employment claim than it is to experience a serious fire, theft or flood claim. The facts:

– ACAS notifications now exceed 1800 per month
– 22% go to full ET / 16% are currently unknown in outcome
– 47% include elements of Discrimination/ public interest
– 43% are claimants with less than 2 years service

Why can this be the case? We know that there is no jurisdiction for claims of Unfair Dismissal if a person has less than two years service. However, to get around that rule a claim of discrimination or whistle blowing is added to the case. Also the compensation awarded for unfair dismissal claims capped at one year’s salary, but if a discrimination claim is added the cap is removed. So what we are seeing is fewer claims than we used to, but much more complicated claims. (although all claims are on the rise again). A simple unfair dismissal that might have taken a single day in tribunal will now be a discrimination claim which can take three or more days. I’m pretty sure that this is why almost half of the claims have an element of discrimination or public interest disclosure (whistleblowing)

We have been advising our clients about these problems for some time and now we have the statistics to back it up – a Premier Legal Total Cover retainer scheme can save you a lot of money in the long run – see http://www.premier-legal.co.uk/premier-total-cover/ or look at http://www.premier-legal.co.uk/retainer-scheme/ to see our other retainer products.

“It’s unwise to pay too much, but it’s worse to pay too little. When you pay too much, you lose a little
money — that’s all. When you pay too little, you sometimes lose everything, because the thing you
bought was incapable of doing the thing it was bought to do. The common law of business balance
prohibits paying a little and getting a lot — it can’t be done. If you deal with the lowest bidder, it is well to add something for the risk you run, and if you do that you will have enough to pay for something better. Quality is never an accident. It is always the result of intelligent effort. There must be the will to produce a superior thing.” —John Ruskin

Thanks to Brian Dunk the MD at Straight Solutions Ltd for the statistics and the quote.