Money: Win pounds 50,000 for unfair dismissal

he tricky business of taking a former employer to court for unfair dismissal is about to become more financially enticing. From tomorrow the upper ceiling for compensation goes up from pounds 12,000 to pounds 50,000.

Earlier this year the Government also reduced the qualifying period before an employee could submit a claim for unfair dismissal from two years to one.

Modern employment tribunals were established in the 1970s to create an environment in which opposing parties could act without legal representation. Solicitors often do represent employees and employers but the tribunals are sympathetic to anyone who brings or defends a case without legal help. If you feel you have been the victim of an unfair dismissal, this is how to bring a claim.

You have to act quite swiftly - employees must normally submit claims to the employment tribunal within three months of being dismissed.

The first step is to get an application form, known as an IT1, from a local law centre, Job Centre, or Citizens' Advice Bureau. You or your lawyer must set out briefly the grounds of complaint, together with details of pay, length of employment and the employer's name.

Once the tribunal has received the application it will provide a case number, which should be quoted in all correspondence.

A copy of the application is then sent to the employer (known as the respondent) together with a form known as the Notice of Appearance. The employer sets out a defence on this form and usually has to return it to the tribunal within 21 days.

The tribunal will then write to each party explaining the steps that need to be taken before the hearing date and set a hearing date.

Tribunals aim to get cases heard as quickly as possible, in some cases within a few weeks of receiving the application. While the process is continuing, Acas, an independent arbitration body, will contact both parties to explore the possibilities of reaching a settlement. If an agreement can be brokered, an Acas officer will draw up a binding agreement for the parties and the case is then withdrawn.

The losing party does not usually have to pay the winning party's costs. This means that an employee can withdraw his or her application at any time at no expense.

Employers are likely to be represented by lawyers and may be prepared to consider a settlement short of a full hearing to avoid the legal costs and wasted management time. Cases are often settled at the door of the tribunal. Employees can get often get help from law centres and Citizens' Advice Bureaux. They will provide initial advice, prepare the application, conduct negotiations and, if necessary, represent the employee.

Some solicitors and employment consultants are prepared to take on cases that they feel have a strong chance of succeeding on a no-win, no-fee basis. Legal aid is not available in employment tribunal cases.

If you are instructing a solicitor check that he or she has employment law expertise and is not simply going to refer to the text books. Tactical awareness is as valuable as legal knowledge in employment disputes. Some legal directories list specialist firms.

Employment Tribunal Helpline, 0345 959775.

Ian Hunter is a partner and employment law specialist at the City law firm Bird & Bird. He is also author of the `Which?' guide to employment.

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