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Annual Increases to Statutory Awards

Posted on April 06, 2022

On 6 April 2022, increases came into effect for the cap to statutory redundancy payments, the cap to unfair dismissal awards, and the cap on awards for injury to feelings in discrimination claims.

Statutory redundancy payments are calculated based on a week’s gross pay, but are subject to a statutory cap. For redundancies taking effect before 6 April 2022, that statutory cap was £544 gross per week. For redundancies after that date, the cap increased to £571 gross per week. See our Redundancy Pay Calculator.

Unfair Dismissal Awards: Compensatory awards in unfair dismissal claims compensate for the loss of earnings from dismissal, but is subject to a statutory cap of the lesser of 52 weeks pay, or £93,878  for dismissals after 6 April 2022 (previously £89,493). See our page on compensatory awards.

Injury to feelings for Unlawful Discrimination: In unlawful discrimination claims (and whistleblowing claims) Tribunals are able to make awards for Injury to Feelings.

For claims presented on or after 6 April 2022, a lower band for injury to feelings of £990 to £9,900 can be awarded for less serious cases; a middle band of £9,900 to £29,600 can be awarded for cases that do not merit an award in the upper band and an upper band of £29,600 to £49,300 can be awarded for the most serious cases, with the most exceptional cases capable of exceeding £49,300. However many Employment Judges are quite conservative in the making awards for Injury to Feelings, which can often be relatively modest. See our page on Injury to Feelings.

Posted in: law


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