Guaranteed access to prompt and fair justice has been enshrined in English law since Magna Carta in 1297.
However, in July 2013, the Government introduced fees to submit claims at Tribunal and a further fee to have them heard. Charges started at £160 for issuing a claim for lost wages or breach of contract. Tribunal fees ranged between £390 and £1,200 (which comprised an issue fee of £250 then a hearing fee of £950). Appeals cost a combined fee totalling £1,600 on top.
As a result, cases plummeted, including a 90% reduction in the number of sex discrimination cases in the first year. A quoted 70% – 79% fewer cases were brought in the next three years. The success rate also fell, probably because employees couldn’t afford to take their case to the Tribunal.
Trade union, Unison, objected because the fees prevented workers from accessing justice. The General Secretary, Dave Prentis, said: “We’ll never know how many people missed out because they couldn’t afford the expense of fees.”
The Supreme Court has now found the Government’s charges to be unfair, unlawful and unconstitutional, because they are “inconsistent with access to justice”.
Also, because of the rule that statutory rights established by parliament must not be undermined by secondary legislation with minimal parliamentary scrutiny.
Finally, they also found the fees were indirectly discriminatory because a higher proportion of women bring discrimination cases. (Discrimination cases cost the most, because of the complexity and time each hearing takes.)
The Government will now have to cease the charges immediately, and repay claimants – a total cost to tax-payers quoted between £27m to £32m.
Of course, not everyone is happy with the news.
For example, Seamus Nevin of the Institute of Directors said the judgement: “Opens the door to a spike in malicious or vexatious claims”. And Mike Spicer at the British Chambers of Commerce, said: “Companies would often settle to avoid a costly and protracted process even when their case was strong”.
As employment lawyers, we think it’s great news for our clients.
The ruling affects many people. Last year, Citizens’ Advice dealt with almost 350,000 queries about employment issues, including:
- 72,500 issues concerning pay and entitlements
- 17,500 inquiries about employment tribunals and appeals
Gillian Guy, CEO of Citizens’ Advice, said: “Employment tribunal fees have been a huge barrier to justice.”
Prof Nicole Busby, acting head of the law school at the University of Strathclyde, said it was: “A very good day for access to justice”.
TUC general secretary Frances O’Grady says: “This is a massive win for working people.”
If you have a bad boss, were sacked unfairly, or are facing harrassment, you can now afford to uphold your rights, no matter how much or little you earn.
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We will also discuss the best methods of funding your case and seek to reach a solution that best suits your needs. This can involve a “no-win, no-fee” agreement if appropriate.