ClearSky asks, is the employment tribunal backlog bad for your business?

The backlog of employment tribunal cases could have a catastrophic effect on your business. That is the verdict from small business experts, ClearSky Business. Thankfully, the SME support specialist could offer a solution.

In an article published on the company’s official blog, employment law specialist Kimberley Ormerod referred to recently published figures, which revealed the extent of the tribunal backlog.

According to data from HM Courts & Tribunal Service, more than 625,371 employment tribunal cases were waiting to be heard since 2013. The record-breaking figure was up 10% on the previous year; and had more than doubled in the past five years.

While the government had introduced employment tribunal fees in a bid to curve the number of cases there is little to suggest that this will solve the backlog overnight. In fact, with reforms due in April 2014, the problem is expected to become much worse. Under new legislation, tribunal claims must first be submitted to the conciliation service ACAS, which will attempt to resolve the problem before the case proceeds to an employment tribunal. However, the concern is that rather than clear up the vast majority of cases, this will simply add another step to an already long and time-consuming process.

For the businesses affected by a delayed tribunal process, the effects can be devastating. An outstanding claim can damage company morale. It also becomes virtually impossible to create accurate financial forecasts and this could ultimately prevent a business from securing the investment or financial support it requires.

That’s why ClearSky Business aim to champion prevention rather than cure. The best way to avoid the damaging effects of the employment tribunal backlog is to reduce the chances of a case being launched.

The fastest growing area for tribunal cases is currently unfair dismissal. Businesses that handle dismissals, redundancies and long-term absences in the right ways are less likely to be affected by the backlog.

Ormerod explains: “Pre-emptive action can save you years of uncertainty and anxiety. Whether it’s handling dismissals in the correct manner, making redundancies or tackling long-term sickness absence, it is vital that small business owners go about things the right way.”

For more information on safeguarding your business from an employment tribunal, call ClearSky Business today on 0808 250 8653 or visit http://www.clearskybusiness.co.uk/hr/

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Jennifer Whittaker

Content Writer

Clearsky Business

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