“This means more individual claims are waiting to be heard than ever before, with more than half a million claims now sitting in the Employment Tribunal system overall, leaving employers and employees alike facing longer waits, higher costs and prolonged uncertainty.
“These figures arrive against the backdrop of some of the most significant employment law reforms in a generation.
“With limitation periods for most claims set to double from October 2026, and eligibility to bring unfair dismissal claims set to expand significantly from January 2027, Tribunals face the prospect of even greater demand in the years ahead.
“Nor are legislative changes the only factor at play.
“Growing awareness of employment rights, combined with AI-powered tools and easier access to legal information, mean it is easier than ever for individuals to identify and pursue potential claims.
“Taken together, these developments risk creating a perfect storm for a system that is already struggling to keep pace.
“More robust Tribunal case management, firmer ACAS intervention, and/or greater use of alternative dispute resolution may all help to resolve disputes sooner and reduce the number of cases for judges to determine – but such options would still require meaningful investment from the government, which doesn’t appear to be on the agenda.
“Final hearings are already routinely being listed two or even three years after a claim is issued, meaning justice delayed risks becoming justice denied.
“Without a major injection of additional resources, these figures raise serious questions about how the system will cope with what lies ahead.”
James Townsend, employment partner at Payne Hicks Beach:
“The message for business from today’s figures is stark.
“Employment litigation is on the rise and employers cannot afford to be complacent, bearing in mind further looming changes under the Employment Rights Act 2025 designed to further strengthen workers’ hands, if and when disputes arise.
“With single employment claims up 28% year on year and the outstanding caseload up 51%, businesses are facing a materially greater risk of costly and time consuming disputes.”