Q&As

What is an employee’s entitlement to compensation for loss of earnings as part of the compensatory award for unfair dismissal in circumstances where the employee has not worked since termination because he is medically unfit for work?

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Published on LexisPSL on 05/05/2017

The following Employment Q&A provides comprehensive and up to date legal information covering:

  • What is an employee’s entitlement to compensation for loss of earnings as part of the compensatory award for unfair dismissal in circumstances where the employee has not worked since termination because he is medically unfit for work?

What is an employee’s entitlement to compensation for loss of earnings as part of the compensatory award for unfair dismissal in circumstances where the employee has not worked since termination because he is medically unfit for work?

The compensatory award for unfair dismissal is such amount as the tribunal considers just and equitable in all the circumstances having regard to the loss sustained by the employee as a result of dismissal and in so far as that loss is attributable to actions of the employer. It is intended to compensate the employee rather than to punish the employer. No account should be taken of any period during which losses are caused by something other than the dismissal.

The starting point in assessing compensation for loss of earnings for unfair dismissal is:

  1. whether the loss claimed was occasioned or caused by the dismissal

  2. whether it was attributable to the conduct of the employer, and

  3. if so, whether it is just and equitable to award compensation

Where there may be two or more concurrent reasons for a successful claimant being unable to work after a dismissal, the correct approach is to determine:

  1. whether one of the reasons for the absence from work was caused by the dismissal

  2. if so,

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