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Case law update - Unfair dismissal and compensation for loss of statutory rights

An employee who is unfairly dismissed will, unless reinstated or re-engaged, lose the right to claim a number of statutory employment protection rights. We look at a recent EAT ruling.

Employees need a certain level of continuous employment to claims rights such as unfair dismissal and redundancy payments. Employment tribunals make an award in respect of this ‘loss of statutory rights’.

In Dugdale v Cartlidge, the EAT has considered the approach that employment tribunals should take when making such an award. It held that they should award the appropriate conventional sum.

This should be based on the £100 awarded in SH Muffett Ltd v Head [1986] IRLR 488 in 1986, increased in line with inflation. The EAT stated that ‘it may well be that that sum these days is £250’.


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