Employment tribunal backlog reaches crisis point

The employment tribunal backlog has continued to grow, according to data released by His Majesty’s Courts and Tribunal Service (HMCTS) last week. Analysis by legal expenses insurer ARAG shows that the rate at which cases are being dealt with has slowed, while the 74,320 ‘open caseload’ recorded in April is the highest on record. As a result, the average time from receipt of an employment tribunal claim to disposal of the case has now reached almost 60 weeks, an increase of nearly three months on the same figure from the previous year.

In total, the reporting year for 2025/26 saw the disposal of 27,379 single and lead-multiple cases, nearly 13% fewer than the previous year, while the number of new case receipts soared to 52,840, marking an increase of 36% on 2024/25. The number of cases includes both single claims brought by individual claimants and ‘multiple’ claims against the same employer, with the total number of outstanding claims now exceeding 530,000.

Looking ahead, the employment rights landscape is also set to change. In January 2027, the qualifying period of service required for an employee to claim unfair dismissal is due to be cut from two years to six months following the passage of the Employment Rights Act 2025. The Economic Analysis of the Act published early this year projected that its overall impact would result in an additional 6,900 cases. However, this estimate was based on claims numbers and growth figures between 2023 and 2025.

Commenting on the latest data, ARAG’s Andy Talbot, Director of Broker, ATE & Marketing, said “Whether claims are becoming more complex or it is simply a question of capacity, the tribunal system clearly cannot cope with increasing claims volumes, despite the steps that the Ministry of Justice has taken to address the backlog of cases.” He went on to express concern over the imminent changes in legislation. “We now have little more than six months before the qualifying period for unfair dismissal is cut from 24 months to just six. However equitable that may be, the tribunal system cannot handle thousands more claims.”

The current situation has significant implications for many. Talbot added, “There are now as many as 70,000 businesses and more than half a million people with an employment tribunal claim hanging over them, and it will be years before many of them see a resolution.” He emphasised that the outstanding caseload has been growing for more than a decade, surpassing the point where it impedes opportunity and economic growth.

Recent data published by HMCTS show that the ‘Employment Tribunal Open Caseload’ at the end of April stood at 74,320 cases, significantly up from 46,843 in April 2025. Footnotes to the HMCTS statistics note that, for technical reasons, the data may still overcount the open caseload by an estimated 3%, but this minor adjustment would have little effect on the overall scale of the crisis facing the employment tribunal system.