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Limit of compensatory award for unfair dismissal claim

2.—(1) Section 124 of the Employment Rights Act 1996(1) is amended as follows.

(2) In subsection (1) for “£74,200” substitute “the amount specified in subsection (1ZA)”.

(3) After subsection (1) insert—

(1ZA) The amount specified in this subsection is the lower of—

(a)£74,200, and

(b)52 multiplied by a week’s pay(2) of the person concerned..

(1)

1996 c. 18. Section 124(1) was amended by S.I. 2012/3007 and section 124(1A) was inserted by the Employment Relations Act 1999 (c.26), section 37(1).

(2)

For these purposes a week’s pay falls to be calculated in accordance with Chapter 2 of Part 14 of the Employment Rights Act 1996 (c.18).