The British Woodworking Federation Group

Statutory Payment Rates For 2011 Set To Rise, Tribunal Awards Limits Also Increasing

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04/01/2011

On 9 December 2010, Steve Webb, the Minister of State, Department for Work and Pensions, announced the proposed rates of statutory benefits which are expected to apply from 11 April 2011.  The standard rates for Statutory Maternity Pay, Statutory Paternity Pay and Statutory Adoption Pay will increase from £124.88 to £128.73. The weekly earnings threshold for these payments will rise from £97 to £102.  Statutory Sick Pay will increase from £79.15 to £81.60, with the weekly earnings threshold also rising from £97 to £102.  Maternity allowance will increase from £124.88 to £128.73, with the earnings threshold remaining at £30. The limits on tribunal awards are also set to increase. The Employment Rights (Increase of Limits) Order 2010 (SI 2926/2010 setting out revised tribunal compensation limits from 1 February 2011, has been laid before Parliament. Tribunal compensation limits will increase on 1 February 2011 under the Employment Rights (Revision of Limits) Order 2010, which has been laid before Parliament. Notably, the maximum compensatory award for unfair dismissal will rise from £65,300 to £68,400 and the maximum amount of a week’s pay, used to calculate statutory redundancy pay (among other things will rise from £380 to £400. The Employment Rights (Revision of Limits) Order 2010 has been laid before Parliament and will revise compensation limits for certain tribunal awards and other statutory payments from 1 February 2011. The figures reflect an RPI increase of 4.6% in the year to September 2010. In most cases involving dismissal, the new figures will apply where the effective date of termination is on or after 1 February 2011. From 1 February 2011: Maximum compensatory award for unfair dismissal increases from £65,300 to £68,400 Maximum limit on a week’s pay increases from £380 to £400 Minimum basic award for certain unfair dismissals (dismissals for reasons of: trade union membership or activities; health and safety duties, pension scheme trustee duties; acting as an employee representative) increases from £4,700 to £5,000

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