Sometimes one side can be unhappy with the decision of the Tribunal but we all know this does not give grounds for appeal.  There are risks to appeals not least of all on the costs front but as this case shows they can encourage the other side to follow suit and cross appeal.

In this case, the employees got a finding of their dismissal being procedurally unfair but their compensation was reduced by 100% on Polkey grounds.  Another useful case to illustrate the fact that 100% reduction does occur.  Their basic award was also reduced by 75% on just and equitable grounds.  The employee appealed on peversity grounds the fact that the Tribunal did not find the dismissal substatively unfair and also on the point of the Polkey deduction.

The employer cross appealed and the EAT held that the Tribunal had erred in failing to consider whether the appeal rectified any defects in the dismissal.  A moot point given the 100% reduction in any event under Polkey.  The EAT also said that the reduction in the basic award should have been 100% not 75%.  So in this case the amount awarded did not, as the employees’ hoped, go up but in fact it went down and the £600 and £60 basic awards they got turned into £0.  Oops!