Limit rise could lead to £60k claims

compensation limit for unfair dismissals at employment tribunals is set to
increase to £51,700.

1 February the claim ceiling will rise by £1,750, but when compensation for
past services is added some claims could reach £60,000.

Davison, personnel and training manager for motor dealership Patterson Ford,
said, "It is unnecessary and a little bit more to worry about"

is another reason for employers to tighten up procedures when making decisions
regarding the future of employees, claimed Peter Carr, personnel services
officer for Eastern District Council in the North-East. But he added £50,000
was already incentive enough for employees to go to tribunal.

research by Personnel Today showed that nearly half of its 137 respondents were
more likely to settle out of the court since the compensation limit was raised
to £50,000 from £12,000 in October 1999.

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