The DTI has announced that the limits on payments made in employment rights cases rose from 1 February in line with inflation.

The rise will benefit people who receive compensation after winning a legal battle against their employer, and it will cover cases dealing with issues such as statutory redundancy and unfair dismissal.

These costs look set to add to the already growing list of red tape, paperwork and administrative costs that UK businesses are forced to deal with. And they may even hamper the development plans of small businesses by discouraging them to take on staff in the first place.

You can find more information about employment rights at the Employment Tribunals Service.