The Employment Protection (Variation of Limits) Order 1991

Explanatory Note

(This note is not part of the Order)

This Order, which comes into force on 1st April 1991, varies certain of the limits which are required to be reviewed annually by the Secretary of State under section 148 of the Employment Protection (Consolidation) Act 1978. The limit on the amount of guarantee payment payable under section 15(1) of the 1978 Act in respect of any day is increased from £12.65 to £13.65. The limit on the amount for the purpose of calculating the sum payable by the Secretary of State under section 122 of the 1978 Act in respect of a debt due to an employee whose employer becomes insolvent is increased from £184 to £198. The limits on the amount of “a week’s pay” for the purposes of calculating redundancy payments and basic and additional awards of compensation for unfair dismissal are increased from £184 to £198.

The amount of “a week’s pay” used in calculating a basic award for unfair dismissal is also one of the constituents of the limit applied by section 5 of the Employment Act 1980 in calculating the award of compensation for unreasonable exclusion or expulsion from a trade union under section 4 of that Act, and by section 5 of the Employment Act 1988 in calculating the award of compensation for infringement of a member’s right not to be unjustifiably disciplined by his trade union under section 4 of that Act.