Employment Tribunal Fees

Debate between Justin Madders and Richard Arkless

Tuesday 1st December 2015 Westminster Hall

[Justin Madders]

The hon. Gentleman is absolutely right on that point, which I will come to later. Speaking from personal experience as a lawyer before I entered this place, I have a number of examples of such situations, and that cannot be right in a fair and just society. Returning to the Justice Committee, it received evidence from Citizens Advice, which published a report called “Fairer Fees” in January 2015. It stated that 82% of its clients said that the fees deterred them from bringing an employment tribunal claim.

All the Government talk at the introduction of the fee regime was about weeding out vexatious claims. As I will go on to demonstrate, there has been no convincing evidence put forward that this system has done anything to reduce such claims, in stark contrast to the significant body of evidence suggesting that people with genuine complaints have not been able to pursue their rights as a result of the fee system. It may be that part of the Government rationale is that those who use the system should contribute to it, in which case far more equitable solutions can be found. It may be that despite everything else, it is and always was part of the Government’s plan to reduce the number of claims being made, in which case they have succeeded.

[Richard Arkless (Dumfries and Galloway) (SNP)]

I thank the hon. Gentleman for securing this very important debate. Does he agree that one of the reasons given in the Beecroft report, which initiated the imposition of tribunal fees, was the desire to make business more efficient, and that the very notion that people being prevented from having access to justice within the workplace would increase productivity and make a business more efficient is completely misguided?

[Justin Madders]

The hon. Gentleman is absolutely right. The suggestion that workplace rights and treating people with respect and decency is somehow an impediment to a business running well is the stuff of nonsense. Having a stable and well-motivated workforce actually helps to improve productivity. The Beecroft report is really where all this is coming from. There is a view that employment rights are somehow an impediment to the good operation of business. If someone has the misfortune of having worked somewhere for less than two years, they effectively have no employment rights, so that has been got through almost by the back door.

Let me return to the reduction in the number of claims. Undoubtedly, that has been stark, and if that is the Government’s intention, it has been successful, but it is unfair, crude and a denial of basic justice. The Citizens Advice report stated that 47% of its clients who were potential type B claimants—those bringing unfair dismissal or discrimination claims—said that they would have to save all their discretionary income for six months in order to be able to proceed with a type B claim. And those are the lucky ones—many who have lost their job have no discretionary income. Keeping a roof over their head and putting food on the table will always take priority over pursuing a claim for which the outcome is uncertain and which will not be resolved for months.