Employment Compensation Limits 2025

At Parachute Law, we understand how overwhelming it can be to navigate compensation claims and employment disputes. Our team of experienced employment solicitors is here to support you through every step of the process. Below are the latest employment compensation limits to help you better understand your rights and potential claims.
Category | Basic Award | Compensatory Award | Additional/Other Limits |
Unfair Dismissal | £700 per week | Lower of £115,115 or 52 weeks' pay | Minimum £18,200 (26 weeks' pay) to Maximum £36,400 (52 weeks' pay) |
Automatically Unfair Dismissal | £700 per week | Unlimited | £21,000 minimum (£8,533 for health & safety cases) |
Redundancy | £700 per week | N/A | Maximum £21,000 or 90 days' pay for consultation failure |
Discrimination | N/A | Unlimited | No cap on compensation |
Trade Union Dismissal | £700 per week | Lower of £115,115 or 52 weeks' pay | Minimum £21,000 (£8,533 minimum in certain cases) |
Guarantee Pay (No Work Provided) | £38 per day | N/A | Maximum £190 (5 days in a 3-month period) |
Contractual Claims in Employment Tribunal | N/A | £25,000 | Tribunal Limit Only |
Unfair Dismissal
- Basic Award: £700 per week (subject to statutory cap)
- Compensatory Award: Up to the lower of £115,115 or 52 weeks' pay
- Additional Award for Failure to Reinstate: Minimum £18,200 (26 weeks' pay) to Maximum £36,400 (52 weeks' pay)
For cases involving certain automatically unfair dismissals, including health & safety issues or whistleblowing, compensation is unlimited.
Redundancy
- Statutory Redundancy Pay: £700 per week (maximum limit)
- Failure to Conduct Collective Consultation (Protective Award): Up to 90 days' pay
Discrimination
- Unlimited Compensation: There is no cap on compensation for discrimination claims.
Dismissal for Trade Union Reasons
- Basic Award: £700 per week
- Compensatory Award: The lower of £115,115 or 52 weeks' pay
- Minimum Award: £21,000 (£8,533 minimum in certain cases)
Guarantee Pay
- No Work Provided: £38 per day, up to a maximum of £190 over 5 days in any 3-month period.
Contractual Employment Tribunal Claims
- Maximum Award: £25,000 for contractual claims in an Employment Tribunal.
Why Choose Parachute Law?
- Expert legal guidance tailored to your unique situation.
- Transparent pricing with no hidden fees.
- Proven track record in employment law cases.
Get In Touch
If you're facing an employment dispute or would like to explore your compensation options, contact us today. Our employment law specialists are ready to offer personalized legal support.