Employment Law — No Win No Fee
Employment law claims — including unfair dismissal, discrimination, and whistleblowing — can sometimes be pursued on a no win no fee basis. Employment tribunals do not routinely award costs, making CFA availability more selective than in personal injury cases.
What Employment Law Claims Can Be Brought on No Win No Fee?
Direct Answer: Common no win no fee employment claims include unfair dismissal, workplace discrimination, harassment, whistleblowing, and redundancy disputes. Employment tribunal claims require ACAS early conciliation first. Some solicitors use CFAs; others prefer DBAs (capped at 35% of damages).
- Unfair dismissal — termination without fair reason or fair procedure (requires 2 years' service, with exceptions)
- Discrimination — Equality Act 2010 protections for age, disability, gender reassignment, marriage/civil partnership, pregnancy/maternity, race, religion/belief, sex, and sexual orientation
- Whistleblowing — detriment or dismissal for making a protected disclosure (Employment Rights Act 1996, Part IVA)
- Wrongful dismissal — dismissal in breach of contract (e.g., without proper notice)
- Constructive dismissal — resignation due to the employer's fundamental breach of contract
- Unlawful deduction from wages — Employment Rights Act 1996, s.13
- TUPE claims — protection under the Transfer of Undertakings (Protection of Employment) Regulations 2006
The Employment Tribunal Process
Employment tribunals are specialist courts that hear employment disputes. Claims are filed using an ET1 form, and the respondent employer files an ET3 response. Cases proceed through preliminary hearings, disclosure, and a final hearing. The tribunal panel typically comprises an Employment Judge sitting alone (for unfair dismissal) or with two lay members (for discrimination claims).
Why CFAs Are Less Common in Employment
In civil litigation, the losing party typically pays the winning party's costs. This 'costs-shifting' mechanism makes CFAs financially viable. Employment tribunals, however, are designed to be accessible to unrepresented claimants and rarely award costs. This means a solicitor on a CFA cannot expect to recover their costs from the respondent if they win, making it harder to offer no win no fee terms. Cases are most likely to be taken on CFA where damages are substantial (discrimination, whistleblowing) or where settlement is highly likely.
Acas Early Conciliation
Before filing a tribunal claim, you must notify Acas and participate in Early Conciliation. An Acas conciliator will attempt to facilitate a settlement. If conciliation is unsuccessful, Acas issues an Early Conciliation certificate, which is required to submit an ET1. The process typically takes up to 6 weeks.