What is a Protective Award? Employment Law

A Protective Award is compensation given to an employee by an employer following an Employment Tribunal relating to redundancy consultation. It is awarded when an employer fails to follow a collective redundancy consultation process when dismissing 20 or more employees within a period of 90 days or less.

How much is a Protective Award?

If an employment tribunal finds that the employer completely (possibly intentionally) failed to action a consultation process in conjunction with employees regarding their dismissals, the Protective Award is likely to total 90 days’ gross pay for each employee.

In some cases, where an employer has made some effort to follow the appropriate consultation process but not adequately, a lesser amount may be awarded which is dependent on the level of compliance by the employer.

A Protective Award must be claimed within three months, starting from the date the last person was dismissed.

Are there situations where a Protective Award would not be given?

Special circumstances do exist where a Protective Award would not be given. For example, if a tribunal deems that it was not reasonably practicable for an employer to consult with employees then a protective award may not be made.

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