The Presidents of the Employment Tribunals in England and Wales and in Scotland have published new guidance on the award levels for compensation for injury to feelings.
This applies to discrimination claims brought under the Equality Act 2010 and certain types of whistleblowing claim.
This compensation is awarded with reference to three bands, known as 'Vento' bands after the case in which the guidance was first set out - Vento v Chief Constable of West Yorkshire. Whilst this guidance is not binding, the tribunal must have regard to it and it would be highly unusual if it were not followed.
For claims presented on or after 6 April 2021, the new Vento bands are as follows:
In the most exceptional cases it will be possible for tribunals to award in excess of £45,600. Tribunals have discretion as to which band applies, and where in the band the appropriate award should fall.
April also saw an increase in the National Minimum Wage and the National Living Wage by 2.2%. The increase comes following recommendations from the Low Pay Commission. One of the most significant recommendations of the Low Pay Commission which has also been implemented is the extension of the National Living Wage to those aged 23 and above.
The new rates, applicable from 6 April 2021, will be:
Age Range |
Rate |
Age 23+ |
£8.91 |
Age 21-22 |
£8.36 |
Age 18-20 |
£6.56 |
Age 16-17 |
£4.62 |
Apprentice |
£4.30 |
Accommodation offset |
£8.36 (per week) |
Employers will, in particular, need to consider their workforce and identify those for whom the extension of the National Living Wage will affect and plan for the increase accordingly.
Limits on tribunal awards increased from 6 April 2021 as follows:
The new figures will apply where the effective date of termination in dismissal cases and the relevant date for redundancy payments falls on or after 6 April 2021. This means that for any redundancies taking effect on or after 6 April 2021, statutory redundancy payments will need to be recalculated in line with the increased limits.
The weekly rate of the following statutory payments also increased on 4 April 2021:
Type of Pay |
Previous Weekly Rate |
New Weekly Rate |
Statutory Sick Pay (SPP) |
£95.85 |
£96.35 |
Statutory Maternity Pay (SMP) |
£151.20 |
£151.97 |
Statutory Paternity Pay (SPP) |
£151.20 |
£151.97 |
Statutory Shared Parental Pay (ShPP) |
£151.20 |
£151.97 |
Statutory Adoption Pay (SAP) |
£151.20 |
£151.97 |