A LANDMARK ruling that the government acted unlawfully when it introduced employment tribunal fees will have a major impact on workers and business.

Lawyers and HR experts said there was likely to be a rise in claims after the Supreme Court judgement.

The government is to stop charging the fees and refund those who have paid following the finding that it discriminated against women and other groups.

Peter Rolph, managing partner at Steele Raymond Solicitors in Bournemouth, said: “It represents a real and fundamental shift back to free access to justice for millions of employees and workers and may mean more claims going forward and justice for unlawful employment acts.”

It would have a “major impact” on both workers and employers, he said.

He said it was unclear whether the government would introduce a new fees regime.

“It is equally unclear what will happen to the claims that the unlawful fees regime prevented being brought. Will the tribunals find it just and equitable to extend the time for bringing a claim or find another way to allow claims to be lodged and pursued or will they remain out of time?” he added.

Kate Brooks, senior associate solicitor with the employment team at Ellis Jones in Bournemouth, said it was possible the government would introduce lower fees or a single category of fees, or make employers pay.

“Given the strain on the tribunal system at present, and the waiting time for claims to be heard, it is quite unlikely that they will make tribunal claims free again,” she said.

Although the decision was “on the face of it very bad news for employers”, she pointed out that staff had still been able to claim a free remission if they were on certain benefits or low incomes.

Mandatory conciliation had contributed to a fall in claims, while vexatious claimants could still be deterred by the possibility of a costs award against them.

Catherine Geddes, partner at Lester Aldridge in Bournemouth, said the decision was “extremely good news” for workers seeking to access the tribunal system.

“This decision doesn’t necessarily mean that fees will not be charged in the future – we may well see a different structure, perhaps better aligned with the county court small claims regime which generally links fees to the claim value, or fees being payable by employers rather than employees,” she said.

“With a 66-70 per cent drop in tribunal claims over the past four years, it’s anticipated employers will now experience an increase in claims against them and so it’s even more important they obtain appropriate legal support and guidance at an early stage,” she added.

Tom Doherty, owner of the HR Department in Dorset, said there would probably be a “steady increase” in claims.

“It will worry employers, mainly because there is then a lack of perceived deterrent for individuals making spurious claims or claims with little prospect of success which take up time, money and increased stress on the employers’ side,” she said.

“It does mean though that the balance has shifted back towards the employee when faced with the decision of whether to make an employment tribunal claim in the first place,” he added.

James Humphrey, senior solicitor with Trethowans, which has a base in Poole, said: "At the moment there is a lot of speculation of what this might mean for employers but our message is not to panic. Good employment practice should continue to address most complaints and keep businesses out of tribunal.

"This decision now needs to be followed by proposals from the government on how it will restructure the system to bring it in line with the law."