No more injury to feeling payouts in unfair dismissal claims

Employees can no longer claim compensation for injury to
feelings in unfair dismissal cases following a judgement at the Employment
Appeal Tribunal this week.

Mr Justice Burton ruled in the case of Dunnachie v Kingston
upon Hull City Council that non-pecuniary losses are not recoverable in
employment tribunals in unfair dismissal claims.

This means that tribunals cannot award damages for personal
injuries, aggravation and injury to feelings caused by the manner (or fact) of
dismissal, which had been the increasing trend.

John McMullen, national head of employment law at law firm
Pinsents, said: “This judgement should be a great relief to employers.”

McMullen said that a recent Court of Appeal decision ruled
that under sex discrimination claims, compensation awards for injury to
feelings could be made of up to £25,000.

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By Ben Willmott