Annual Increase in Compensation Limits

The annual increase in compensation limits has been published recently (for dismissals and other events occurring after 1 February 2009). The key increases are:

• The maximum compensatory award that an employee can be awarded at an Employment Tribunal (e.g. unfair dismissal claims) will increase from £63,000 to £66,200.

• The absolute maximum unfair dismissal award in 'ordinary' cases increases from £72,900 to £76,700

• The maximum amount of "a week's pay" for the purpose of calculating a redundancy payment will increase from £330 to £350

• The maximum redundancy payment will increase from £9,900 to £10,500

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