10th April 2025 | Hudson Contract
Employment tribunals are set for reform with plans for new “dispute resolution appointments” that would act like mediation or adjudication before going to court. The idea is that the new step in the process would reduce the number of cases reaching court, but there are concerns it will just add another layer of bureaucracy to an already complex process for resolving workplace disputes.
With the upcoming Employment Rights Bill set to make it more difficult to dismiss rogue employees, these changes suggest tribunals are bracing for a surge in claims, further straining their already huge backlogs and delaying access to justice.
The government has also confirmed plans to extend the time limit for bringing tribunal claims from three to six months – a change that marks a victory for unions which have lobbied for this extension for years as it gives them more opportunity to recruit members who may feel they have axes to grind with former employers.
Hudson Contract managing director Ian Anfield warns: “To add complexity, cost and time into already overly time-consuming disputes, many of which have no merit in the first place, risks delaying access to justice and is hardly consistent with the government’s growth agenda.
“Thankfully, our clients don't need to unduly worry about any of this. We handle these issues so they can focus on running their businesses, so these changes are our problem to deal with.”
Unlike the current ACAS process, these "DRAs" would allow tribunals to require both sides to attend a preliminary hearing where a judge assesses who's likely to win and potential compensation.
Mr Anfield added: “The ACAS ‘early conciliation’ process introduced in 2014 to sift cases simply has not worked. The risk with DRAs is that they will be weaponised by unions and no-win, no-fees solicitors. Employers will have to bear the costs and hassle of preparing fully for the preliminary hearings while claimants can just turn up, or not if they choose to, with no financial risk if their cases are thrown out at that stage.”
Official statistics show single employment tribunal receipts increased by 36 per cent in the last quarter compared to the same period a year ago.
The Ministry of Justice is consulting on changes to tribunal procedural rules until May 19.

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