Plans to reintroduce employment tribunal fees have been met with fierce criticism as nearly 50 organisations including the TUC, Citizens Advice, Maternity Action and Disability Rights UK call for the government to halt its proposals.
In a joint statement penned by 48 organisations and campaigners, the signatories call on the government to urgently reconsider its plans, saying that the fees risk pricing many workers out of workplace justice, especially those at greater risk of employment law violations.
Last month the Ministry of Justice announced plans for the reintroduction of employment tribunal fees saying it had “carefully considered” the 2017 Supreme Court ruling and had “endeavoured to ensure” that the fees proposed are proportionate and affordable.
However, signatories say that reintroducing the fees will encourage the exploitation of workers: “We believe this will deter many from lodging worthy claims and gives a green light to bad employers to exploit their workers.
“Bad employers are being given the go-ahead to undercut good ones, safe in the knowledge they are less likely to face claims in the employment tribunal. Employment rights are only real if they are enforced. Tribunal fees risk pricing many workers out of workplace justice.”
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A public consultation closes on 25 March 2024. It proposes a flat fee of £55 to issue any claim at the employment tribunal or the employment appeal tribunal (EAT), with exemptions for those on low incomes.
The coalition government launched much higher employment tribunal fees in 2013, with claimants in simple disputes such as unpaid holiday paying a £160 issue fee and a further £230 for a tribunal hearing.
More complex disputes such as discrimination were met with a £250 issue fee and £950 hearing fee. Appellants at the EAT had to pay a £400 issue fee and £1,200 hearing fee.
Following their introduction, Unison sought unsuccessfully to have employment tribunal fees ruled unlawful in the High Court and the Court of Appeal.
However, in a final appeal to the Supreme Court, seven judges unanimously ruled the fees unlawful, saying they were not reasonably affordable for households on low to middle incomes. Even where they were affordable, they prevented access to justice by making it financially ill-advised to pursue a claim unless the claimant was certain of winning and recovering their fees. The fee-regime was quashed and claimants could apply for tribunal fee refunds.
The joint statement from the 48 organisations and campaigners says the decision to reintroduce fees will put yet another hurdle in front of those seeking justice, and highlights the existing barriers working people face including:
- Lack of awareness of key employment rights and the process for bringing a claim
- Strict time limits on filing claims
- An under-resourced employment tribunal system leading to significant delays in cases being heard
- An under-funded labour market enforcement system that doesn’t have enough inspectors to proactively enforce employment rights.
They raise concerns about the impact on workers in the middle of a cost-of-living crisis: “Workers seeking recovery of wage theft, unpaid redundancy pay and compensation for unfair dismissal are to be asked to stump up extra money at an incredibly tough moment in their lives.
If the government is serious about stamping out maternity discrimination, they should be reducing barriers to justice not increasing them” – Rosalind Bragg, Maternity Action Group
“Fee exemption procedures are complex and difficult to understand for many, especially within the three-month time limit for most claims.
“Fees are also being levied at a time when rising inflation and subdued wages are putting pressure on family budgets. Access to justice must never be contingent on your ability to pay.”
They further criticise that: “Tribunal fees risk pricing many workers out of workplace justice, especially workers at greater risk of employment law violations such as pregnant workers, disabled workers and migrant workers.”
Rosalind Bragg, director at Maternity Action Group, said: “For pregnant women and new mothers in the cost-of-living crisis, every penny counts. Charging fees for employment tribunal claims puts the justice system out of reach for women at a time when they are most in need of protection.
“If the government is serious about stamping out maternity discrimination, they should be reducing barriers to justice not increasing them. Fees will reduce the deterrent effect of the employment tribunal, reassuring bad employers that they can get away with breaking the law.
“We have laws in place to secure equal treatment of pregnant women and new mothers at work but these are ineffective without the robust operation of the employment tribunal. Fees are a step backwards in the fight for gender equality.”
TUC general secretary Paul Nowak said: “Employment tribunal fees give employers a pass to exploit workers – whether it’s discrimination, unfair sackings or withheld wages. Working people shouldn’t be picking up the bill for exploitative employers’ poor behaviour. It’s plain wrong. Ministers must halt their plans without delay.”
Last month, Daniel Barnett, employment barrister at Outer Temple Chambers, said: “This does not seem an unreasonable proposal or one that bars access to justice. The government has bent over backwards to keep the fee modest and it is unlikely to be vulnerable to another attack.”
Other signatories of the statement include Pregnant Then Screwed, the Young Women’s Trust, Liberty, Mother Pukka, the Immigration Law Practitioners’ Association, Legal Action Group, Protect, Fawcett Society and the Joseph Rowntree Foundation.
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