Labour employment tribunal reforms must not make system a “one-way bet”

Responding to Chuka Ummuna’s claim today in a speech to the Trade Unions Congress that Labour would scrap the current employment tribunal system if elected next year.

Speaking about the speech, James Sproule, Director of Policy at the Institute of Directors, said: “Fees are a sensible way to weed out weak or vexatious claims before they reach employment tribunal. Before the refundable charges were introduced, fewer than 1 in 10 tribunal cases against IoD members were won by the claimant, wasting large amounts of money and management time for businesses.

“Claimants on benefits or low incomes are exempt from the fees so we do not think they are a barrier to wronged employees getting compensation. Labour must be very careful that they do not once again make the system a one-way bet, where the entire burden is on the employer.”