Labour Research (May 2024)

Law Matters

Compensation limits

Increases have been made to the compensation limits for certain employment rights, as the Employment Rights (Increase of Limits) Order 2024 came into force from 6 April 2024.

The maximum amount for a week’s pay (for an unfair dismissal basic award and a statutory redundancy payment) increased to £700 (from £643).

The maximum compensatory award for unfair dismissal increased to £115,115 (from £105,707).

The minimum amount of unfair dismissal award for trade union, health and safety, working time representative, pension scheme trustee and employee representative dismissals increased to £8,533 (from £7,836).

Statutory guarantee pay increased to £38 per day (from £35).

The amount for unlawful inducement relating to trade union membership/activities or collective bargaining increased to £5,584 (from £5,128).

These figures reflect the 8.9% increase in the Retail Prices Index from September 2022–September 2023.


This information is copyright to the Labour Research Department (LRD) and may not be reproduced without the permission of the LRD.