How the ERA can help you avoid Employment Tribunal Claims
Many employers have shared their concerns about the changes to unfair dismissal rights, reducing the qualification period from two years to six months, but few have been talking about the other change that can help them resolve conflict and avoid Employment Tribunal claims.
In October 2026 the time limit for Employment Tribunal claims will increase from three months to six months. That means an employee will have up to six months to decide whether they want to file for a tribunal claim. Some predict this will potentially lead to an increase in tribunal claims, but this change could deliver quite the opposite. Here's how...
Resolving conflict under time pressure limits options
Once a grievance or disciplinary process begins, it can take some time to unravel what has happened and identify a way forward. Once a decision is made, if a fair process is being followed then an employee would have a right to appeal the decision, and should they choose to, that then takes time to explore and determine an outcome of the appeal. Ideally final decisions are only made after all information is assessed and considered. In reality, a process from start to finish including appeals can take many months, even if all investigation and appeals officers, witnesses and decision makers are all able to prioritise the process. All too often this is just not the case.
Where that leaves an employee under the existing time limit, is they have to advise ACAS of their intent to file a claim within three months. If the employee has sought advice, it would be potentially negligent for their advisors to not make them aware of the time limit and encourage them to file for ACAS Early Conciliation and/or their Employment Tribunal claim form (ET1). The risk of negligence claims exists for Trade Union representatives and officials as well as solicitors and other legal advocates. This time pressure encourages a legal pathway to be pursued before alternatives can adequately be explored.
The cost of conflict
Once a case is taking a legal route, the chances of finding a resolution without escalation and significant associated cost, reduces. For dismissals, this may involve negotiating a settlement agreement, costing an employer similar to what they might be penalised by the tribunal, which may save on court costs but will still cost significant amounts for some employers. The average award for unfair dismissal in 2025 was just under £14,000. For other matters, once a legal route is actioned the option of the employee returning to the workplace may be lost. Both options lead to costs for recruitment and loss of productivity bringing new people up to speed.
All conflicts have costs from the impact on other employees, judging for themselves whether an employer has acted fairly or not, adjusting how they might show up to work and exactly how much they might contribute. Of course, once an ET claim is filed and should it progress to tribunal, details will potentially be in the public domain and reputational damage becomes a further risk.
Finding a resolution that works takes time
Increasing the time limit for Employment Tribunal claims to six months, increases the chance of finding a resolution to conflict before an individual needs to escalate their issue to ACAS, the first step in the tribunal system. This increase in time is valuable, allowing an opportunity to explore options and reduce harm to those directly involved and in the wider workplace. Support for conflict resolution can cost too but can also reduce the overall cost of a case and increase the benefits to your wider workforce. Support can include:
facilitated mediation to explore multiple options for resolution
conflict coaching for individuals involved
independent investigation support and recommendations
counselling, mental health support
time to reflect, apologise, repair harm
identifying lessons learned and creating agreed action plans.
Acting fast is key. Delays in sourcing adequate support can lose your time advantage. Forming relationships with mediators and other experts as part of your business network will mean you have the support at hand for when it is most needed.
Invest in preventing and managing conflict to reduce risks and protect your business growth
Why wait for the change to time limits for employment tribunal claims to occur? Why wait until conflict arises? Why wait until a performance management process is required for an individual? Why wait until you really need to implement change fast? Build resilience in advance of challenges and embed conflict resolution practices in your ways of working.
Investing in conflict resolution can mean training in communication skills, inclusion and team working, or coaching and support for line managers, project leaders, and joint working with Trade Unions and their representatives. Ensuring managers understand the development needs of their team and are prepared to support individual development, can be a basic first step to build resilience in times of change or difficulty, as well as building commitment to finding a way through, together.
There is always something you can do from where you are at now
All businesses are able to do something from where they are at, to reduce the potential for workplace conflict to occur and mitigate the potential for creating harm. Even if significant investment is not possible, less costly preventative interventions or rethinking your processes and how you go about work, can deliver results within a tight budget. Waiting for conflict to occur is the more costly strategy. Getting ahead of conflict, especially when change is planned or difficult times are coming, means the potential is reduced for conflict to escalate and cause costly and irreparable harm.
At Contribute 100 we can assess where you are at, what you are able to do now and what will make the most difference in the short, medium and longer term. Our Practical Conflict Resolution services will provide the guidance you need to implement your chosen actions.
Contact us to identify what you can do now to make the most difference.
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