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Limits on tribunal awards and statutory payments to increase from April 2020

The Employment Rights (Increase of Limits) Order 2020 (SI 2020/205) has been laid before Parliament and increases the limit applying to certain awards of employment tribunals and other statutory payments on 6 April 2020.

In particular, the maximum compensatory award for unfair dismissal will rise from £86,444 to £88,519 and the maximum amount of a week’s pay, used to calculate statutory redundancy payments and various awards, including the basic and additional awards for unfair dismissal, will rise from £525 to £538.

The draft Social Security Benefits Up-rating Order 2020 has also been published and increases the rates of statutory sick pay, maternity, paternity, adoption and shared parental pay as follows:

  • The statutory sick pay rate will increase from £94.25 per week to £95.85.
  • The statutory rate of maternity pay, paternity pay, adoption pay and shared parental pay will increase from £148.68 per week to £151.20.