Compensation for Unfair Dismissal

What financial redress compensation for unfair dismissal can one obtain if a case is taken ? is a question often asked, and this post will give you a guide in relation to the answer.

Compensation is only one form of redress, but other forms of redress for a successful applicant in an unfair dismissals case include re-instatement or re-engagement with the employer.

Compensation for unfair dismissal is set by statute and the maximum one can be awarded is 104 weeks of remuneration.

This is dealt with at S.7 (c) of the Unfair Dismissals Acts which states :

( c ) (i) if the employee incurred any financial loss attributable to the dismissal, payment to him by the employer of such compensation in respect of the loss (not exceeding in amount 104 weeks remuneration in respect of the employment from which he was dismissed calculated in accordance with regulations under section 17 of this Act) as is just and equitable having regard to all the circumstances, or

(ii) if the employee incurred no such financial loss, payment to the employee by the employer of such compensation (if any, but not exceeding in amount 4 weeks remuneration in respect of the employment from which he was dismissed calculated as aforesaid) as is just and equitable having regard to all the circumstances.

Unfair dismissal claims are financial loss claims and there is a duty upon the employee in such cases to mitigate their financial loss and seek employment to reduce this loss after the dismissal has taken effect. If a person has no economic loss the maximum compensation is four weeks wages.

What specifically is Financial Loss ?

It includes actual loss and estimated prospective loss of income connected with the dismissal as can seen here:

“ financial loss”, in relation to the dismissal of an employee, includes any actual loss and any estimated prospective loss of income attributable to the dismissal and the value of any loss or diminution, attributable to the dismissal, of the rights of the employee under the Redundancy Payments Acts, 1967 to 1973, or in relation to superannuation”.

Therefore, it can include loss from dismissal date to case hearing date, to include also future loss and pension loss.

Disclaimer – Compensation for Unfair Dismissal Article

Please be advised that the above-mentioned material is intended as an overview and as a broad out-line of the topic discussed. It should not be considered as complete and comprehensive legal advice, nor act as an appropriate substitute. Legal advice should be sought from a solicitor prior to relying on anything in this article.

Due care has been taken in the publication of this article and we do not accept legal liability as a result of reliance on any material covered in the above article.

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