Dispute Resolution – Government response to secondary legislation consultation

Monday, December 29th, 2008

In June 2008, the Government published a consultation document entitled Dispute Resolution – Secondary legislation consultation that sought views on a number of measures relating to the reforms to the dispute resolution procedures in the Employment Act 2008.

A review of the responses received from the consultation exercise has now been published and it indicates the decisions made by the Government about each of the proposed measures. They include the following.

  • The proposal to add members of the Chartered Institute of Personnel and Development (CIPD) to the list of independent advisors who may sign compromise agreements is dropped.
  • The proposal to change the 8% fixed rate of interest charged on unpaid employment tribunal awards to a floating rate that is linked to the current cost of borrowing is dropped.
  • The proposal to add simple holiday pay cases, brought under the Working Time Regulations, to the list of matters that may be heard by an employment tribunal judge sitting alone will go ahead.
  • On the assumption that the new dispute resolution arrangements will take effect from 6 April 2009 (as is clearly the Government’s intention), the new arrangements will apply where
  • in the case of disciplinary procedures, the date when the employer starts disciplinary or dismissal action, i.e. sends a letter to the employee or invites the employee to a meeting or, if those do not occur, the date of the actual disciplinary action or dismissal, is on or after 6 April 2009
  • in the case of grievance procedures, the date of the action about which the employee complains falls on or after 6 April 2009. The former procedures will continue to apply to ongoing actions that start before 6 April 2009, but only if the employee submits a written grievance or makes an employment tribunal claim by 4 July 2009 (where the jurisdiction has a 3-month time limit – e.g. a discrimination claim) or 4 October 2009 (where the jurisdiction has a 6-month time limit – e.g. an equal pay claim).

Further information:
Dispute Resolution Secondary Legislation – Government response to consultation


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