Court of Appeal to hear Judicial Review of unfair dismissal compensation cap

Compromise Agreements Ltd instigated a Judicial Review against the Government’s decision to introduce a statutory cap of 52 weeks’ pay for unfair dismissal compensation, i.e. it is the lower of 52 weeks’ gross pay or the statutory maximum cap in force at the time (currently £78,335).

Compromise Agreements Ltd instigated a Judicial Review against the Government’s decision to introduce a statutory cap of 52 weeks' pay for unfair dismissal compensation, i.e. it is the lower of 52 weeks' gross pay or the statutory maximum cap in force at the time (currently £78,335). CA Ltd argued that: (i) older people are more likely to be out of work for more than a year and, but for the cap, would be entitled to recover more than a year's salary; (ii) as a result, older potential claimants will be put off from bringing a claim; and (iii) the cap is therefore indirectly age discriminatory. In May 2014, the High Court refused permission to proceed with the Judicial Review on the grounds of ‘undue delay’ because the application should have been brought sooner, but in any event, the Court decided there was no reasonable prospect of success. CA Ltd appealed and the Court of Appeal will hear the case on 19 May 2015. 

Content Note

The aim is to provide summary information and comment on the subject areas covered. In particular, where employment tribunal and appellate court cases are reported, the information does not set out full details of all the facts, the legal arguments presented by the parties and the judgments made in every aspect of the case. Click on the links provided to access full details. If no link is provided contact us for further information. Employment law is subject to constant change either by statute or by interpretation by the courts. While every care has been taken in compiling this information, SM&B cannot be held responsible for any errors or omissions. Specialist legal advice must be taken on any legal issues that may arise before embarking upon any formal course of action.

Read more

Latest News

Read More

How to effectively manage multigenerational workforces

11 July 2025

Newsletter

Receive the latest HR news and strategic content

Please note, as per the GDPR Legislation, we need to ensure you are ‘Opted In’ to receive updates from ‘theHRDIRECTOR’. We will NEVER sell, rent, share or give away your data to third parties. We only use it to send information about our products and updates within the HR space To see our Privacy Policy – click here

Latest HR Jobs

Durham University – Human Resources Salary: Competitive This provides summary information and comment on the subject areas covered. Where employment tribunal and appellate court cases

Sheffield Hallam University – Directorate of Human Resources and Organisational Development Salary: £39,355 to £44,128 per annum This provides summary information and comment on the

University of Cambridge – Human Resources DivisionSalary: £41,671 to £55,755 per annum This provides summary information and comment on the subject areas covered. Where employment

University of Oxford – Harris Manchester CollegeSalary: £28,889 to £33,453 (FTE equivalent: £48,149–£55,755), inc. Oxford University weighting of £900 (FTE equivalent: £1,500) This provides summary

Read the latest digital issue of theHRDIRECTOR for FREE

Read the latest digital issue of theHRDIRECTOR for FREE