SHARP rises in the numbers of certain types of Employment Tribunal claims are being blamed on workers becoming more litigious because of the recession.
According to one North West firm, employers are also issuing illegal ultimatums by asking workers to choose between working conditions and redundancy.
The holy grails of salary and working hours, which should only be changed with the agreement of both parties, are often the first to suffer as desperate employers battle with today’s economic climate.
Between April 1, 2008, and February 28, 2009, there was an 80% surge in the number of claims for companies failing to inform and consult on redundancy.
Unfair dismissal claims are also up from 40,941 to 47,115, while breach of contract claims have risen by a quarter, compared to April, 2007, to February, 2008.
But, according to provisional Employment Tribunal statistics covering the whole of the UK, there were around 20,000 fewer claims for equal pay and 31,000 fewer under the working time directive.
Andrew Cross, an employment partner with Liverpool-based Brabners Chaffe Street, said: “Employees and their representatives are now more familiar with the relevant employment legislation and people are much more willing to exert their right to make a claim, particularly in the current financial climate.
“Redundancy procedures still present a huge challenge for employers.
“Although the concepts have been in place for many years, there are a number of complex steps, particularly in larger-scale redundancy exercises, that must be adhered to in order to avoid costly claims and in some cases punitive awards.”
In the past 12 months, the Employment Law Advisory Service [ELAS] has seen an 80% increase in the number of enquiries from employers asking about the legality of changing contractual conditions.
Giles Ridgeway, an employment law consultant with ELAS, said: “Legally, an employer can’t change a staff contract without consultation and agreement from the employee.
“If they do this, an employee can resign and claim unfair dismissal.
“Employers are relying on people not wanting to lose their jobs and choosing to take the pay cut or agreeing to work longer hours for no more money.
“If you reduce someone’s wage, or change their working hours, it is seen as a breach of contract.”
