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Non-payment of tribunal awards - research 05/11/2013 Only 49% of people who were awarded a pay out at an employment tribunal received their payment in full, according to new research.

Non-payment of tribunal awards - research

Only 49% of people who were awarded a pay out at an employment tribunal received their payment in full, according to new research. A further 16% were paid in part, leaving over a third who received no money at all.

The Payment of Tribunal Awards 2013 study, carried out by IFF Research, examined whether awards were paid, reasons for non-payment and the effect of enforcement action.

The reason most commonly given for non-payment was that the company no longer existed / had become insolvent or otherwise ceased trading (37%). One in 3 claimants whose award was not paid (29%) stated that the employer had refused to pay, and 17% were unable to locate the employer.

“We are determined to clamp down on businesses who fail to pay out. Far too many cases are not being resolved leaving people out of pocket,” said Employment Relations Minister Jo Swinson. “Taking an employer to tribunal is a stressful enough process without having to face the possibility of not getting what you are entitled to if you win your case.”

“We will look closely at how we can tighten things up to make sure that people get what they are owed. This includes potentially making changes to the employment tribunal rules to give judges the power to demand deposits from businesses who they think might not pay up,” she added.
 

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