Section 27BI — Employment Rights Act 1996: Remedies

Remedies 27BI 1 Where an employment tribunal finds a complaint under section 27BG well-founded, the tribunal—

a must make a declaration to that effect, and b may make an award of compensation to be paid by the employer to the worker.

2 The amount of compensation under subsection (1)(b) is to be such amount, not exceeding the permitted maximum, as the tribunal considers just and equitable in all the circumstances to compensate the worker for any financial loss sustained by the worker which is attributable to the matter complained of.

3 In ascertaining the financial loss sustained, the tribunal must apply the same rule concerning the duty of a person to mitigate their loss as applies to damages recoverable under the common law of England and Wales or (as the case may be) Scotland.

4 For the purposes of subsection (2), “the permitted maximum” is—

a where the complaint is under section 27BG(1), (2), (3), (7) or (8), such number of weeks’ pay as the Secretary of State may specify in regulations;

b where the complaint is under section 27BG(4) or (5), such amount as the Secretary of State may specify in regulations.

5 In calculating a week’s pay for the purposes of determining the permitted maximum for an award of compensation to a worker who is not an employee, Chapter 2 of Part 14 is to apply as if—

a references in that Chapter and in section 234 (normal working hours) to an employee were references to a worker;

b references in that Chapter and in section 234 to a contract of employment were references to a worker’s contract;

c “week” meant—

i in relation to a worker whose remuneration is calculated weekly by a week ending with a day other than a Saturday, a week ending with that other day, and ii in relation to any other worker, a week ending with Saturday.