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Discrimination claimants could receive up to £50k compensation in future

Discrimination claimants could receive up to £50k compensation in future

Wednesday 10 July 2024

Discrimination claimants could receive up to £50k compensation in future

Wednesday 10 July 2024


Individuals who suffer discrimination in the workplace and at the hands of businesses should be able to claim compensation of up to £50,000, a new report has recommended amid concerns that current award limits are too low.

The Jersey Employment Forum, an independent body that advises on employment law-related matters, has released a report recommending changes to the compensation awards regime for employment and discrimination claims.

The report, which was commissioned by Social Security Minister Lyndsay Feltham, follows concerns raised last month by the Jersey Community Relations Trust about the effectiveness of current discrimination laws. 

The Trust argued that low compensation caps provided "little incentive" for employers to comply with the law and often resulted in out-of-court settlements with non-disclosure agreements.

The Forum's suggestions aim to update long-standing limits on awards and strike a fairer balance between employee rights and employer responsibilities.

The key recommendations include:

  • Doubling the maximum award for breaches of an employee's statutory employment rights from four to eight weeks' pay. 

  • Extending the number of weeks' pay that can be awarded for unfair dismissal, taking into account the length of an employee's service.

  • Significantly increasing the maximum award for workplace discrimination from the current £10,000 to either £50,000 or 52 weeks' pay, whichever is greater.

  • Raising the limit on awards for breaches of an employee's contractual rights from £10,000 to £30,000.

The Employment Forum also suggested that the Tribunal should have the power to anonymise its judgments, which are all currently posted publicly on the Jersey Legal Information Board, and that a limited costs regime should be introduced to sanction or deter vexatious claims or conduct.

Carla Benest, Chair of the Employment Forum, said: "It was clear from responses received that action is considered necessary to revise aspects of the existing compensation awards regime. 

“The current awards and jurisdictional limits have been in place for many years and, in some instances, have become devalued over time."

She added: "Whilst many employers in Jersey are mindful of their responsibilities, serious breaches of the most basic employment rights continue to occur. In making its recommendations, the Forum's intention has been to create a fair balance between the rights of employees and the responsibilities of employers." 

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"Little incentive" for employers to comply with discrimination law

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