LRD guides and handbook June 2016

Law at Work 2016

Chapter 13

Enforcing tribunal awards and costs orders 


[ch 13: page 467]

Tribunals do not have power to enforce their awards or costs orders. If an employer refuses to pay up, the claimant must launch separate county court enforcement proceedings. 


Ministry of Justice research into the enforcement of tribunal awards in England and Wales (May, 2009) showed that 39% of tribunal awards are not paid at all and that 8% are paid only in part. 


A new system of Penalty Enforcement came into operation in April 2016, under powers contained in the Small Business Enterprise and Employment Act 2015. A claimant whose tribunal award or Acas settlement has not been paid by the employer must complete a Penalty Enforcement Form and send it to the new ET Penalties Team at the Department for Business, Information and Skills who will give the employer 28 days in which to pay. If the award remains unpaid, the employer will be ordered to pay a penalty (50% of the amount outstanding (minimum £500 and maximum £5,000)). The penalty is halved if the amount is paid in 14 days. The penalty goes to HM Treasury, not to the claimant.