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.