New rules in relation to non-payment of awards or settlements in Employment Tribunals

The Government has unveiled new plans that will come in to effect from April 2016 in a bid try to “encourage” employers to pay awards made against them. Under the new rules, the Government can issue a “warning notice” if awards or settlements remain unpaid. Thereafter, if the monies remain unpaid, a “penalty notice” of 50% of the outstanding amount (subject to a minimum £100 and maximum £5000) can be issued. The money is paid to the Government, not the employee.

Being properly advised on employment matters and having the right documentation in place helps you to manage risk, allows you to concentrate on the important aspects of your business and protects your investment. Contact Emma or Natalia in our Employment deptartment for advice.