Employment tribunal backlog worsens further

The backlog in the UK employment tribunal system is worsening, as new data from His Majesty’s Courts and Tribunal Service (HMCTS) reveals a concerning increase in outstanding cases. The number of unresolved cases has risen by 18% compared to the same period last year, with the total reaching nearly 44,000 by the end of June 2024.

In addition to this surge in claims, the rate at which cases are being resolved is at its lowest since the pandemic. In the first quarter of the current financial year (April to June), case disposals dropped by 4% compared to 2023, with the full-year figure showing a 6% decrease in resolved cases compared to 2022/23.

Commenting on these figures, Andy Talbot, Director of Marketing at ARAG, expressed his concern about the diminishing capacity of the tribunal system. "The latest data show that the problems in the tribunal system have gone from bad to worse," said Talbot. "The number of claims is increasing, but the capacity of the tribunal system seems to be diminishing."

He emphasized that while public attention has largely been focused on delays in the criminal justice system, employment tribunals face similar challenges, albeit with less visibility. "Employment tribunals are like the forgotten cousins of the justice system," Talbot noted. "People rarely see the impact these delays have on both the workers involved and the businesses."

The growing backlog is having severe consequences for businesses, particularly small and medium-sized enterprises (SMEs). Talbot highlighted that long delays in resolving employment disputes create uncertainty and can discourage investment and hiring. "Having such claims hanging over SMEs is particularly difficult, as it creates huge uncertainty, can make bosses hesitant to invest elsewhere in the business, and can discourage further recruitment," he explained.

HMCTS data also indicates that some more complex cases, especially those requiring longer hearings, are facing delays of up to two years. Minutes from a meeting of the Employment Tribunals National User Group in April revealed that hearings for some cases in the London South region are now being scheduled for 2026. Talbot underscored that "individuals shouldn’t be having to wait up to two years for an issue with a former employer to be resolved."

The combination of rising claim numbers and a slowing resolution rate points to a growing crisis within the employment tribunal system, with both employees and businesses suffering the consequences of extended delays. Without significant improvements in tribunal capacity, this situation may continue to worsen, adding further strain to the UK's justice system.