On 29th July 2013 changes relating to the Employment Tribunal come into effect. The first change is the introduction of fees and fee remission. The second change relates to the new rules and procedures. (See the draft fee order and Employment Tribunals (Constitution and Rules of Procedures) Regulations 2013)

Fees and Fee Remission

HMCTS has said that the introduction of fees is likely to be implemented from 29th July 2013. The amount of fees will vary depending on the type of the claim and the number of claimants. Full and partial remission will be available in some circumstances.

Fees will be payable:

1.         When a claim is presented to an employment tribunal;

2.         For a hearing (payable on a date specified in a notice sent with notification of listing of final hearing);

3.         When four types of applications are made; and

4.         Judicial mediation (payable by the respondent on a date specified in a notice sent with notification of listing for judicial mediation).

There will be two types of claim for the purpose of fees; Type A claims and Type B claims. The Draft Order specifies claims that are Type A claims, and anything that is not a Type A claim is by definition Type B. Schedule 2 of the Draft Order details claims that will be considered Type A.

Issue Fee

For a single claimant the issue fee payable on a Type A claim will be £160, and a Type B will be £250. (These fees will be higher for multiple claimants, depending on how many claimants there are). The fee will be payable when the claim form is presented to the Tribunal. Only when the fee has been paid or remission application approved will the ET1 be sent to the appropriate office.

Hearing Fee

For a single claimant with a Type A claim the hearing fee will be £230 and for a single claimant with a Type B claim the hearing fee will be £950. (This will be higher for multiple claimants with the same claim depending on how many).

If there are multiple claims if any claims is of Type B then the Type B fee will be payable.

Schedule 2 of the Draft Order gives full details of issue and hearing fees.

Four Types of Application

1.         Reconsideration of default judgment – this will be £100 for Type A and £100 for Type B.

2.         Reconsideration of judgment following final hearing – this will be £100 for Type A and £350 for Type B.

3.         Dismissal following withdrawal – this will be £60 for Type A and £60 for Type B.

4.         Employers’ contract claim made by way of application as part of response to employees’ contract claim – this will be £160 for Type A.

(See Schedule 1 of the Draft Order)

Judicial Mediation

The fee for this will be £600 and will be payable by the respondent.

Employment Appeal Tribunal

£400 will be payable by the appellant following receipt of the notice of appeal by the Employment Appeal Tribunal.

£1,200 will be payable by the appellant following direction of the Employment Appeal Tribunal that the matter is to proceed to a full appeal hearing.

Remissions

Full or partial remissions are available for those who are for example, in receipt of certain benefits, or on low incomes (as defined by the Order).

Fee remission will not be available for those in receipt of legal aid in respect of their claim.

(See Schedule 3 of the Draft Order for full details of circumstances in which a full or partial remission will be available.)

UNISON challenge to the introduction of fees

It is worth bearing in mind that the union, UNISON, is challenging the introduction of fees by applying to the High Court to judicially review the decision by the Ministry of Justice to introduce the fees.
New Employment Tribunal Rules and Procedures

These have been brought in by the Employment Tribunals (Constitution and Rules of Procedures) Regulations 2013 SI 2013/1237. The majority of the measures in this Statutory Instrument come into force on 29th July 2013.

A Few of the Biggest Changes

Below is a brief outline of some of the provisions of the Instrument:

-       Composition of the Employment Tribunal when dealing with national security (Regulations 8 and 9).

-       President can make practice direction (Regulation 11).

-       How a claim is to be presented and can be rejected by the Employment Tribunal if the prescribed form is not used or certain information is not contained in the form (Schedule 1, Rules 8 and 10) (Schedule 1, Rule 17 deals with the measure in relation to the Response).

-       Claim rejected if no fee or application for remission form (schedule 1, Rule 11).

-       The Tribunal may reject the claim if it does not have jurisdiction or if the claim is in a form which cannot sensibly be responded to or if it is an abuse of process (Schedule 1, Rule 12).

-       Where the Employment Tribunal considers specific allegations or arguments have little reasonable prospect of success it can order the relevant party to pay a deposit of up to £1,000 as a condition of pursuing that particular argument or allegation (Schedule 1, Rule 39).

-       Consequences for failure to pay fees are outlined (Schedule 1, Rule 40).

-       ‘Preliminary hearings’ replace CMDs and PHRs (Schedule 1, Rules 53 to 56).

-       Initial consideration of claim and response provision for dismissal of all or part of the claim if the Tribunal considers that all or part has no reasonable prospect of success (Schedule 1, Rules 26, 27 and 28).

 

Please contact Alice Lane for further information or advice.

 

 

 

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