Schedule of Loss Unfair Dismissal
Schedule of Loss
A Schedule of Loss is a document used in employment tribunal claims, particularly in unfair dismissal cases, to outline the financial losses and compensation being sought by the claimant (the employee). It provides a detailed breakdown of the monetary impact the dismissal has had on the employee, helping the tribunal assess the appropriate level of compensation if the claim is successful.
Key Components of a Schedule of Loss:
Basic Award
This is calculated similarly to a statutory redundancy payment, based on the employee’s age, length of service, and weekly pay (subject to statutory limits).
Formula:
1.5 weeks’ pay for each year of service where the employee was aged 41 or over.
1 week’s pay for each year of service where the employee was aged 22–40.
0.5 weeks’ pay for each year of service where the employee was under 22.
Compensatory Award
This covers the actual financial losses suffered as a result of the unfair dismissal, including:
Lost earnings: From the date of dismissal to the date of the tribunal hearing or until the employee finds a new job.
Future lost earnings: If the employee is still unemployed or earning less in a new job.
Loss of statutory rights: Compensation for losing rights such as unfair dismissal protection until the employee has worked for a new employer for two years.
Pension losses: If the dismissal resulted in a loss of pension benefits.
Benefits in kind: Such as company car, private healthcare, or bonuses.
Notice pay: If the employee was not given proper notice or payment in lieu of notice.
Additional Awards
In some cases, such as if the employer fails to comply with a reinstatement or re-engagement order, the tribunal may award additional compensation.
Mitigation of Loss
The employee is expected to take reasonable steps to mitigate their losses (e.g., by looking for a new job). Failure to do so may reduce the compensatory award.
ACAS Uplift
If the employer failed to follow the ACAS Code of Practice on Disciplinary and Grievance Procedures, the tribunal may increase the award by up to 25%.
Taxation
Some elements of the award (e.g., notice pay) may be subject to tax, while others (e.g., injury to feelings) are typically tax-free.
Purpose of the Schedule of Loss
It helps the tribunal understand the financial impact of the dismissal on the employee.
It provides a clear basis for negotiations if the parties wish to settle the claim before the hearing.
It ensures the claimant has properly considered and quantified their losses.
When is it Prepared?
The Schedule of Loss is usually prepared after the employee has submitted their claim (ET1 form) and the employer has responded (ET3 form).
It is often exchanged between the parties during the tribunal process, and the tribunal may set a deadline for its submission.
Importance of Accuracy
The Schedule of Loss must be accurate and supported by evidence (e.g., payslips, job applications, and correspondence with potential employers). Overstating or understating losses can affect the credibility of the claim.
If you are preparing a Schedule of Loss, it is advisable to one of our advisors that can help give you legal advice or assistance to ensure it is comprehensive and properly reflects your losses.
Be Employment Tribunal Ready
It is crucial to determine how much you believe your claim is worth before going to an employment tribunal to submit a claim for compensation. You may also use this number as a negotiating tool with your employer in an effort to avoid filing a claim with a tribunal. Make sure that you mention any and all potential claims that you may have, such as the fact that you have not been paid notice or holiday pay.
The schedule of loss template will help you illustrate the amount that you want the tribunal to award you in the event that you are successful in your claim. In most cases, the employment tribunal will request that you prepare one.
Schedule of Loss
A Schedule of Loss is a document used in employment tribunal claims, particularly in unfair dismissal cases, to outline the financial losses and compensation being sought by the claimant (the employee). It provides a detailed breakdown of the monetary impact the dismissal has had on the employee, helping the tribunal assess the appropriate level of compensation if the claim is successful.
Key Components of a Schedule of Loss:
Basic Award
This is calculated similarly to a statutory redundancy payment, based on the employee’s age, length of service, and weekly pay (subject to statutory limits).
Formula:
1.5 weeks’ pay for each year of service where the employee was aged 41 or over.
1 week’s pay for each year of service where the employee was aged 22–40.
0.5 weeks’ pay for each year of service where the employee was under 22.
Compensatory Award
This covers the actual financial losses suffered as a result of the unfair dismissal, including:
Lost earnings: From the date of dismissal to the date of the tribunal hearing or until the employee finds a new job.
Future lost earnings: If the employee is still unemployed or earning less in a new job.
Loss of statutory rights: Compensation for losing rights such as unfair dismissal protection until the employee has worked for a new employer for two years.
Pension losses: If the dismissal resulted in a loss of pension benefits.
Benefits in kind: Such as company car, private healthcare, or bonuses.
Notice pay: If the employee was not given proper notice or payment in lieu of notice.
Additional Awards
In some cases, such as if the employer fails to comply with a reinstatement or re-engagement order, the tribunal may award additional compensation.
Mitigation of Loss
The employee is expected to take reasonable steps to mitigate their losses (e.g., by looking for a new job). Failure to do so may reduce the compensatory award.
ACAS Uplift
If the employer failed to follow the ACAS Code of Practice on Disciplinary and Grievance Procedures, the tribunal may increase the award by up to 25%.
Taxation
Some elements of the award (e.g., notice pay) may be subject to tax, while others (e.g., injury to feelings) are typically tax-free.
Purpose of the Schedule of Loss
It helps the tribunal understand the financial impact of the dismissal on the employee.
It provides a clear basis for negotiations if the parties wish to settle the claim before the hearing.
It ensures the claimant has properly considered and quantified their losses.
When is it Prepared?
The Schedule of Loss is usually prepared after the employee has submitted their claim (ET1 form) and the employer has responded (ET3 form).
It is often exchanged between the parties during the tribunal process, and the tribunal may set a deadline for its submission.
Importance of Accuracy
The Schedule of Loss must be accurate and supported by evidence (e.g., payslips, job applications, and correspondence with potential employers). Overstating or understating losses can affect the credibility of the claim.
If you are preparing a Schedule of Loss, it is advisable to one of our advisors that can help give you legal advice or assistance to ensure it is comprehensive and properly reflects your losses.
Be Employment Tribunal Ready
It is crucial to determine how much you believe your claim is worth before going to an employment tribunal to submit a claim for compensation. You may also use this number as a negotiating tool with your employer in an effort to avoid filing a claim with a tribunal. Make sure that you mention any and all potential claims that you may have, such as the fact that you have not been paid notice or holiday pay.
The schedule of loss template will help you illustrate the amount that you want the tribunal to award you in the event that you are successful in your claim. In most cases, the employment tribunal will request that you prepare one.
Schedule of Loss
A Schedule of Loss is a document used in employment tribunal claims, particularly in unfair dismissal cases, to outline the financial losses and compensation being sought by the claimant (the employee). It provides a detailed breakdown of the monetary impact the dismissal has had on the employee, helping the tribunal assess the appropriate level of compensation if the claim is successful.
Key Components of a Schedule of Loss:
Basic Award
This is calculated similarly to a statutory redundancy payment, based on the employee’s age, length of service, and weekly pay (subject to statutory limits).
Formula:
1.5 weeks’ pay for each year of service where the employee was aged 41 or over.
1 week’s pay for each year of service where the employee was aged 22–40.
0.5 weeks’ pay for each year of service where the employee was under 22.
Compensatory Award
This covers the actual financial losses suffered as a result of the unfair dismissal, including:
Lost earnings: From the date of dismissal to the date of the tribunal hearing or until the employee finds a new job.
Future lost earnings: If the employee is still unemployed or earning less in a new job.
Loss of statutory rights: Compensation for losing rights such as unfair dismissal protection until the employee has worked for a new employer for two years.
Pension losses: If the dismissal resulted in a loss of pension benefits.
Benefits in kind: Such as company car, private healthcare, or bonuses.
Notice pay: If the employee was not given proper notice or payment in lieu of notice.
Additional Awards
In some cases, such as if the employer fails to comply with a reinstatement or re-engagement order, the tribunal may award additional compensation.
Mitigation of Loss
The employee is expected to take reasonable steps to mitigate their losses (e.g., by looking for a new job). Failure to do so may reduce the compensatory award.
ACAS Uplift
If the employer failed to follow the ACAS Code of Practice on Disciplinary and Grievance Procedures, the tribunal may increase the award by up to 25%.
Taxation
Some elements of the award (e.g., notice pay) may be subject to tax, while others (e.g., injury to feelings) are typically tax-free.
Purpose of the Schedule of Loss
It helps the tribunal understand the financial impact of the dismissal on the employee.
It provides a clear basis for negotiations if the parties wish to settle the claim before the hearing.
It ensures the claimant has properly considered and quantified their losses.
When is it Prepared?
The Schedule of Loss is usually prepared after the employee has submitted their claim (ET1 form) and the employer has responded (ET3 form).
It is often exchanged between the parties during the tribunal process, and the tribunal may set a deadline for its submission.
Importance of Accuracy
The Schedule of Loss must be accurate and supported by evidence (e.g., payslips, job applications, and correspondence with potential employers). Overstating or understating losses can affect the credibility of the claim.
If you are preparing a Schedule of Loss, it is advisable to one of our advisors that can help give you legal advice or assistance to ensure it is comprehensive and properly reflects your losses.
Be Employment Tribunal Ready
It is crucial to determine how much you believe your claim is worth before going to an employment tribunal to submit a claim for compensation. You may also use this number as a negotiating tool with your employer in an effort to avoid filing a claim with a tribunal. Make sure that you mention any and all potential claims that you may have, such as the fact that you have not been paid notice or holiday pay.
The schedule of loss template will help you illustrate the amount that you want the tribunal to award you in the event that you are successful in your claim. In most cases, the employment tribunal will request that you prepare one.