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Keeping up to date

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Counting the cost – compensation

Posted on: June 2nd, 2021 by Ginny Hallam

While a recent award of over £2.5 million for disability discrimination is an exception, the decision demonstrates the potential scope and costs of unlimited compensation available in respect of discrimination claims.

Here’s how the costs can add up:

Losses up to the hearing – claimants are entitled to any losses they’ve incurred leading up to the tribunal hearing. These include any benefits, bonuses or pension contributions associated with their role (on top of their salary). Compensation for these losses is uncapped.

Future losses – the Tribunal must determine the point at which the claimant is able to find an equivalent role to the one they had or would have held, before the discriminatory dismissal. Many factors will be at play here including the age of the claimant, detriment on their career, and the prevailing job and salary market (to name a few). Again uncapped – the cost can soon mount up.

Injury to feelings – known as ‘Vento Bands’, awards for injury to feelings are set out in three levels depending on severity. The upper band ranges from £27,400 to £45,600 for the most serious of cases, but Tribunals have the discretion to make awards in excess of the upper limit (in exceptional circumstances).

It pays to be aware and train employees regularly to minimise the possibility of claims arising. Our sessions are engaging, interactive and practical ensuring attendees can put their learning into action. Get in touch to find out what our sessions cover.


This update is accurate on the date it was sent (2 June 2021), but may be subject to change which may or may not be notified to you. This update is not to be taken as advice and you should seek advice if anything contained within affects you or your business.