Employment Rights Act 1996

120 Basic award: minimum in certain cases.E+W+S

(1)The amount of the basic award (before any reduction under section 122) shall not be less than [F1£3,800] where the reason (or, if more than one, the principal reason)—

(a)in a redundancy case, for selecting the employee for dismissal, or

(b)otherwise, for the dismissal,

is one of those specified in section 100(1)(a) and (b), [F2101A(d),] 102(1) or 103.

[F3(1A)Where—

(a)an employee is regarded as unfairly dismissed by virtue of section 98A(1) (whether or not his dismissal is unfair or regarded as unfair for any other reason),

(b)an award of compensation falls to be made under section 112(4), and

(c)the amount of the award under section 118(1)(a), before any reduction under section 122(3A) or (4), is less than the amount of four weeks’ pay,

the employment tribunal shall, subject to subsection (1B), increase the award under section 118(1)(a) to the amount of four weeks’ pay.

(1B)An employment tribunal shall not be required by subsection (1A) to increase the amount of an award if it considers that the increase would result in injustice to the employer.]

F4(2). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Textual Amendments

F1Words in s. 120(1) substituted (1.2.2005) by The Employment Rights (Increase of Limits) Order 2004 (S.I. 2004/2989), arts. 1(1), 3, {Sch. } (subject to art. 4)

F2Words in s. 120(1) substituted (1.10.1998) by S.I. 1998/1833, reg. 32(5)

F3S. 120(1A)-(1B) inserted (1.10.2004) by Employment Act 2002 (c. 22), ss. 34(6), 55(2); S.I. 2004/1717, art. {2(2)} (subject to art. 3)

F4S. 120(2) repealed (17.12.1999) by 1999 c. 26, ss. 36(1)(a)(3), 44, Sch. 9(10); S.I. 1999/3374, art. 2(b)(c), Sch.

Modifications etc. (not altering text)

C1S. 117-127A applied (with modifications) (2.7.1999) by S.I. 1999/1548, reg. 3

C2S. 120(1): power to amend conferred (17.12.1999) by 1999 c. 26, s. 34(1)(b); S.I. 1999/3374, art. 2(b)