Employment Rights Act 1996, section 112

The remedies: orders and compensation

Part X Unfair dismissal

(1)This section applies where, on a complaint under section 111, an [F785employment tribunalF785] finds that the grounds of the complaint are well-founded.

(2)The tribunal shall—

(a)explain to the complainant what orders may be made under section 113 and in what circumstances they may be made, and

(b)ask him whether he wishes the tribunal to make such an order.

(3)If the complainant expresses such a wish, the tribunal may make an order under section 113.

(4)F787If no order is made under section 113, the tribunal shall make an award of compensation for unfair dismissal (calculated in accordance with sections 118 to [F786126F786] . . .) to be paid by the employer to the employee.

[F788 (5)F789 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(6)F789 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F788]

Definitions used in section 112 3

employment

(5) In this Act “employment”—

(a)in relation to an employee, means (except for the purposes of section 171) employment under a contract of employment, and

(b)in relation to a worker, means employment under his contract;

Defined in s.230(5) · see it in the full Act

(6) This section has effect subject to sections 43K , 47B(3) and 49B(10) ; and for the purposes of Part XIII so far as relating to Part IVA or section 47B, “worker”, “worker’s contract” and, in relation to a worker, “employer”, “employment” and “employed” have the extended meaning given by section 43K.

Defined in s.230(6) · see it in the full Act
employer

(4) In this Act “employer”, in relation to an employee or a worker, means the person by whom the employee or worker is (or, where the employment has ceased, was) employed.

Defined in s.230(4) · see it in the full Act

(6) This section has effect subject to sections 43K , 47B(3) and 49B(10) ; and for the purposes of Part XIII so far as relating to Part IVA or section 47B, “worker”, “worker’s contract” and, in relation to a worker, “employer”, “employment” and “employed” have the extended meaning given by section 43K.

Defined in s.230(6) · see it in the full Act
employee

(1) In this Act “employee” means an individual who has entered into or works under (or, where the employment has ceased, worked under) a contract of employment.

Defined in s.230(1) · see it in the full Act

Cases considering section 112 29

Hazel & Anor v The Manchester College

[2014] EWCA Civ 72 · 5 February 2014

Applies the remedial framework requiring consideration of reinstatement or re-engagement before compensation where an unfair-dismissal complaint succeeds. (see paras [29], [33]) Cited only. Cited only. Cited only. Cited only. Cited only. Cited only. Cited only.

Grady v HM Prison Service

[2003] EWCA Civ 527 · 11 April 2003Interprets

The tribunal must explain the available reinstatement and re-engagement orders and their governing circumstances. The structure supports the conclusion that unfair dismissal remedies are primarily personal. (see paras [7]; [22]) Where the complainant requests reinstatement or re-engagement, the tribunal has power to make such an order. This reinforces the personal nature of the statutory claim. (see paras [7]; [22]) Compensation is to be awarded where neither reinstatement nor re-engagement is ordered. Its place after the personal remedies did not convert the claim into a proprietary asset. (see paras [8]; [22]-[25])

Park Chinois Ltd v A Ozkara & Ors

[2019] UKEAT 0224_18_3107 · 31 July 2019Interprets

The provision requires a Tribunal, after finding dismissal unfair, to explain and consider reinstatement or re-engagement before proceeding to compensation. It creates a temporal priority, not a presumption favouring either remedy.

9 more judgments, and what each says about section 112, are in the case-law panel in the full Act.

Amendments and notes

5 notes from legislation.gov.uk

Amendments

  1. F785Words in s. 112(1) substituted (1.8.1998) by 1998 c. 8, s. 1(2)(a) (with s. 16(2)); S.I. 1998/1658, art. 2(1), Sch. 1
  2. F787Words in s. 112(4) repealed (25.10.1999) by 1999 c. 26, s. 44, Sch. 9(11); S.I. 1999/2830, art. 2(3), Sch. 2 Pt. I
  3. F786Word in s. 112(4) substituted (1.10.2004) by Employment Act 2002 (c. 22), ss. 53, 55(2), Sch. 7 para. 36; S.I. 2004/2185, art. 2
  4. F788S. 112(5)(6) inserted (1.10.2004) by Employment Act 2002 (c. 22), ss. 34(3), 55(2); S.I. 2004/1717, art. 2(2) (subject to art. 3)
  5. F789S. 112(5)(6) omitted (6.4.2011) by virtue of The Employment Equality (Repeal of Retirement Age Provisions) Regulations 2011 (S.I. 2011/1069), reg. 3(6) (with regs. 5-7, 9)