Employment Tribunals, Unfair Dismissal

What Are the Possible Outcomes of an Employment Tribunal?

Illustration of employment tribunal gavel and outcomes icons

What Are the Possible Outcomes of an Employment Tribunal?

4 minute read

Key points

  • Compensation is capped for unfair dismissal but uncapped for discrimination.
  • Reinstatement orders are rare; tribunals favour financial awards.
  • Declarations confirm rights breaches without direct payment.
  • Costs risk arises from unreasonable behaviour.
  • Always mitigate losses by seeking new work.
  • Appeals are limited to legal points.

Employment tribunal outcomes can range from substantial compensation awards to orders forcing your employer to take you back, but not all cases end in your favour.

Understanding Employment Tribunal Outcomes

Employment tribunal outcomes primarily include dismissal of your claim, compensation payments, reinstatement or re-engagement orders, declarations of your rights, and occasionally costs orders against the losing party. These remedies depend on the type of claim, such as unfair dismissal or discrimination, and whether the tribunal finds in your favour. Knowing these possible employment tribunal outcomes helps set realistic expectations before you start your case.

Many claimants hope for financial compensation to make up for lost wages or distress, but tribunals also prioritise practical solutions like returning to work where possible. This guide breaks down each outcome with examples from UK employment law, drawing on the Employment Rights Act 1996 and other key statutes.

By the end, you will understand how tribunals decide remedies and what steps to take next, empowering you to represent yourself effectively.

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Appeal Risks

Appeals are only for legal errors, not rehashing facts, and require permission.

What Happens If Your Claim Is Dismissed?

If the tribunal rejects your claim, it will issue a judgment dismissing it, with no remedies awarded and potential costs implications.

In UK employment tribunals, the most common outcome for unsuccessful claimants is dismissal of the claim. This happens when the tribunal decides there is no breach of employment rights, such as finding your dismissal was fair under section 98 of the Employment Rights Act 1996. You receive nothing, and the judgment is final unless you appeal on a point of law to the Employment Appeal Tribunal.

Dismissal judgments are published and can impact future claims due to res judicata principles, meaning the same issue cannot be relitigated. For example, if your unfair dismissal claim fails because the employer followed a fair procedure, the case ends there.

Even in dismissal, tribunals sometimes offer guidance in the reasons, which can help if you consider settlement or ACAS conciliation post-judgment.

Compensation Awards: Financial Remedies

Compensation is the primary remedy for successful claims, covering lost earnings, injury to feelings, and other losses with statutory caps for some claims.

Compensation forms the bulk of employment tribunal outcomes for successful claimants, especially in unfair dismissal and discrimination cases. For unfair dismissal under the Employment Rights Act 1996, tribunals award a basic award (like redundancy pay, calculated on age, service, and weekly pay up to £700 as of 2024) plus a compensatory award for financial losses, capped at £115,115 or 52 weeks’ pay.

In discrimination claims under the Equality Act 2010, compensation is uncapped and includes injury to feelings (Vento bands: £1,200-£12,900 lower, up to £58,700+ top band). Tribunals deduct mitigation earnings, such as from new jobs, and may recoup benefits via DWP regulations.

Real-world example: A claimant dismissed for whistleblowing might receive £20,000 compensatory for six months’ lost salary after mitigation, plus basic award.

💡
Maxmise Your Claim

Gather evidence of job search efforts to counter mitigation arguments.

Reinstatement and Re-engagement Orders

Tribunals can order your employer to reinstate you to your old job or re-engage in comparable employment, though these are rarely granted.

Under sections 113-127 of the Employment Rights Act 1996, tribunals first consider reinstatement (exact same job) if you request it and it’s practicable. Factors include your wish, employer’s ability to comply, and any contributory fault on your part.

If reinstatement is not ordered, re-engagement with the same or associated employer in suitable work is next. Success rates are low (under 1% of cases) as tribunals prefer compensation; employers often appeal or ignore orders, leading to further compensation.

For instance, in a protected dismissal like maternity-related, the tribunal might order reinstatement from the dismissal date, with back pay adjusted for earnings elsewhere.

ℹ️
Rare but Powerful

These orders restore seniority and benefits but strained relations often make compensation preferable.

Declarations of Rights and Recommendations

Tribunals issue declarations confirming your rights were breached and may recommend employer actions without binding force.

Declarations under section 163 of the Employment Rights Act 1996 or Equality Act 2010 simply state your rights, useful for ongoing contracts or equal pay claims. No money follows directly, but it supports future arrears claims.

Recommendations, mainly for discrimination, urge employers to train staff or change policies (section 124 Equality Act). Non-compliance doesn’t increase awards but tribunals monitor. Example: Declaring unequal pay breach allows back pay claim within six years.

These employment tribunal outcomes provide moral vindication and leverage for negotiation.

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Use for Leverage

A declaration strengthens settlement talks or further claims.

Costs Orders and Preparation Time Orders

Unreasonable conduct can lead to costs orders covering legal fees or preparation time, though tribunals are reluctant.

Costs are exceptional in employment tribunals as they are ‘no costs jurisdiction’ normally. Under rule 76 of the Employment Tribunals Rules 2013, tribunals award costs if a party acted vexatiously, abusively, or unreasonably, like ignoring ACAS or false claims.

Preparation time orders compensate unrepresented parties for time spent (up to £33/hour, 2024 rates). Capped at full costs recoverable in county court (~£20k). Example: Dismissing a hopeless claim might order £5,000 costs against claimant.

These deter misconduct but claimants risk them if claims lack merit.

⚠️
Conduct Matters

Always engage reasonably to avoid costs liability.

Other Possible Outcomes and Considerations

Additional outcomes include interim relief, struck-out claims, and appeals, affecting final resolution.

Interim relief orders (sections 128-132 ERA) maintain pay pending full hearing for automatic unfair dismissals. Struck-out claims end early if hopeless. Judgments can be reviewed for errors or new evidence within 14 days.

Post-judgment, enforce via county court if unpaid. Settlements via ACAS remain confidential.

Understanding full spectrum of employment tribunal outcomes prepares you for uncertainties.

ℹ️
Enforcement Key

Awards over £3,000 need High Court enforcement if ignored.

Key Points on Employment Tribunal Outcomes

Employment tribunal outcomes offer remedies from compensation to reinstatement, tailored to your case’s merits. Success hinges on strong evidence and procedure adherence, with focus keyword employment tribunal outcomes varying by claim type.

Prepare thoroughly, consider ACAS early, and remember declarations uphold rights even without cash. Consult GOV.UK for latest caps.

Representing yourself? Use our guides to navigate towards the best possible outcome.

Frequently asked questions

What is the maximum compensation for unfair dismissal?

The compensatory award for unfair dismissal is capped at £115,115 or 52 weeks’ gross pay (whichever lower, 2024 figures), plus basic award. This covers financial losses like lost earnings, subject to mitigation and recoupment.

How often are reinstatement orders granted?

Reinstatement orders are rarely granted, under 1% of cases, as tribunals consider practicality and relations. Compensation is preferred by both parties usually.

Can I get costs if I win?

Costs are not automatic; awarded only for unreasonable opponent conduct. Expect to bear your own costs in most cases.

What is a declaration of rights?

A declaration states your employment rights were infringed, e.g., discrimination occurred. It supports further claims like arrears but pays nothing directly.

What if my employer ignores the order?

Enforce via county court; non-compliance with reinstatement leads to additional compensation.

Are discrimination awards capped?

No, discrimination compensation under Equality Act 2010 is uncapped, including injury to feelings.

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This is not legal advice, this post is for information purposes only, legal advice should be from legal professionals only.

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employment tribunal outcomes
compensation
reinstatement
re-engagement
declaration of rights
unfair dismissal
tribunal remedies
employment rights