Sharp rise in employment tribunal claims: should social housing providers be concerned?

by Comfort Nsek

 
 

Recently published figures show that the number of claims received by Employment Tribunals increased substantially between April and June 2018 compared to the same period last year. 

The Tribunals and Gender Recognition Statistics Quarterly reported that single claims received during the quarter increased by 165% while multiple claims received more than quadrupled, rising a staggering  344%, taking them to the highest level for the last five years. 

The increase follows the July 2017 landmark Supreme Court ruling in a case brought by public service union Unison, in which it was held that the tribunal fees were unlawful as they were preventing access to justice.  The Government had introduced tribunal fees in 2013 in order to transfer part of the cost burden from taxpayers to users of the tribunals’ services.  The move was also aimed at deterring unmeritous claims and encouraging employees and employers to take advantage of the early conciliation period and consider earlier settlement.

While the increased number of multiple claims are said, at least in part, to be due to a large multiple claim against an airline, the general trend is certainly moving in an upwards direction and it is no surprise that businesses in the social housing sector, including some of our clients, are also reporting an increase in claims brought against them. 

In simple terms, social housing providers should be prepared to deal with the higher risk of claims being brought against them. The first steps should be to ensure that company policies and procedures are up to date and that conflicts are managed in line with them. For example, disciplinary and grievance policies should be reviewed and updated if necessary to ensure they provide clear processes to be followed by management to limit the risk of allegations of procedural unfairness. In addition, conflict management training for key staff with line management responsibilities can help to ensure good employee relations, reduce the risk of claims and strengthen the business’ chances of successfully defending proceedings.  In certain disputes, offering mediation may also help to resolve matters before they reach tribunal.  

Despite the rumours that the Government may introduce a replacement fee regime to tackle the increase in claims, the likelihood of this happening in the short-term is slim, especially as its focus remains centred around the issues we face as a result of Brexit.

 
 
 

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