Workplace Report September 2003

Features: Law Dismissal

Compensation

Case 7: The facts

A number of appeals on the issue of compensation for injury to feelings were heard collectively by the Employment Appeal Tribunal. The cases involved applicants who had successfully claimed significant sums for injury to feelings.

For example, in one case, the Stoneham Housing Association had been ordered to pay £3,200 to an employee unfairly dismissed, where it was argued that the dismissal had caused him to suffer from depression.

The ruling

The EAT ruled that compensation for injury to feelings cannot be awarded in unfair dismissal or constructive unfair dismissal claims. The only amounts the tribunals can award are compensation to reflect an actual financial loss.

Dunnachie v Kingston upon Hull EAT/0726/02