The maximum compensatory award for unfair dismissal will be increased from £76,574 to £78,335. As such, for any dismissals which take effect on or after 6 April 2015 the cap on the compensatory award is the lower of £78,335 or 52 weeks' pay.
In addition, to this an employee who is dismissed unfairly is also entitled to a basic award which is calculated based on a week's pay. As of 6 April the cap on a week's pay will be increased from £464 to £475. As such the maximum basic award that can be awarded will increase from £13,920 to £14,250.
It should be borne in mind though that there are no limits on the compensatory award that may be awarded for dismissals for health and safety reasons, dismissals for making a protected disclosure (whistleblowing), or unlawful discrimination based on one of the protected characteristics (sex, race, age, sexual orientation, disability, religion or belief).
For more information about Tribunal awards and how they are calculated, see our article on employment tribunal awards.
Certain statutory payments will also be increased at the beginning of April. In relation to family-friendly employment rights, the statutory maternity, adoption and paternity pay will be increased from £138.18 to £139.58 per week. This will also be the maximum statutory payment for shared parental leave once it is introduced.
Finally, from 6 April, there will be an increase to the statutory sick pay limit. The new weekly rate of statutory sick pay will be £88.45 per week (increased from £87.55).