LRD guides and handbook May 2017

Law at Work 2017

Chapter 13

Financial penalties for ‘aggravated breach’ 



[ch 13: page 507]

Tribunals can impose an extra penalty on employers who breach employment rights where that breach has “one or more aggravating features” or involves “unreasonable behaviour” (section 12A, Employment Tribunals Act1996). Penalty payments cannot be below £100 or more than £5,000 and will reduce by 50% if paid within 21 days. The penalty is not paid to the claimant but to HM Treasury. Very few penalties have been ordered since this new power was first introduced in April 2014.