Your quick guide to the latest developments affecting UK employers.
Fair Work Agency Now Enforcing Tribunal Awards & Acas Settlements
The Fair Work Agency (FWA) has taken over responsibility for enforcing employment tribunal awards and Acas settlements – and employers who fail to pay could face fines of up to £5,000 plus public naming on the government website.
How the scheme works:
Claimants can now apply to the FWA if an employer hasn’t paid:
- An ET judgment (after 42 days have passed), or
- An Acas COT3 settlement by the agreed date
The FWA will issue a warning notice giving employers 28 days to respond. If payment still isn’t made, a penalty is issued:
Penalty Amount Details
50% of unpaid award – Minimum £100, maximum £5,000
Paid to The Government (not the claimant)
What employers need to know:
The scheme covers awards and settlements made after 6 April 2016
Non-payers may be publicly named on the government website
If penalties don’t prompt payment, claimants can pursue civil court enforcement
Looking ahead: The FWA’s remit is expanding. National Minimum Wage enforcement transfers in April 2027, with holiday pay enforcement to follow.
Action point: Review any outstanding tribunal awards or Acas settlements. Ensure payment processes are in place to avoid penalties and reputational damage.
________
EU-OSHA: Embed DEI into Health & Safety to Tackle Psychosocial Risks
The European Agency for Safety and Health at Work (EU-OSHA) has published new research highlighting the link between workforce diversity and psychosocial risks (PSRs) at work.
Key findings:
The report, Workforce Diversity and Psychosocial Risks: Towards Healthier and More Inclusive Workplaces, examines how certain groups face heightened exposure to PSRs stemming from work organisation, design and culture. These include:
- LGBTIQ+ workers
- Women
- Migrants and Black and ethnic minority workers
- People with disabilities or chronic ill health
- Younger and older workers
- Those with low socioeconomic status
Why it matters:
Heightened PSR exposure leads to increased mental health problems, including:
- Depression
- Difficulty concentrating
- Sleep disorders
- Job burnout
Stress, anxiety and depression are now the second most common work-related health problem affecting European workers.
The takeaway: EU-OSHA argues that embedding diversity, equality and inclusion into occupational safety and health strategies is essential – not optional – for creating healthier, more resilient workplaces.
Action point: Review your health and safety risk assessments to ensure psychosocial risks are considered for all employee groups, not just the “average” worker. Read the full report.
Employment Tribunal Caseload Hits Record Levels
The Ministry of Justice has released its quarterly employment tribunal statistics for January–March 2026, revealing unprecedented pressure on the system.
The headline figures:
- 52,400 new ET cases filed in the quarter
- 531,000 live claims in the system (up 1.5% on last quarter)
- 55% increase in single claims compared to the same quarter last year
Fastest growing claim types (year-on-year):
- TUPE +227%
- National Minimum Wage +122%
- Whistleblowing +112%
- Disability discrimination +79%
What’s driving claims:
Unfair dismissal: 23% of all claims (included in 51% of new filings)
Disability discrimination: 16% of all claims
Unauthorised deduction of wages: 13% of all claims
Looking ahead: The Government’s own impact assessment estimates claims could rise by a further 17% once Employment Rights Act 2025 reforms take effect – including the reduction of the unfair dismissal qualifying period from two years to six months from 1 January 2027.
What this means for employers: With the tribunal system already under strain, early resolution of disputes is more important than ever. Consider reviewing your internal grievance procedures and exploring mediation or Acas early conciliation to avoid lengthy tribunal delays.
Over 300 Employers Named and Shamed for Illegal Working
The Home Office has published its latest quarterly report on illegal working penalties, covering October–December 2025, as part of its ongoing crackdown on illegal employment.
Key figures:
- 300+ employers publicly named for employing illegal workers
- Multiple fines exceeding £100,000
- Largest single penalty: £315,000
Sectors affected:
Illegal workers were encountered across a range of industries, including:
- Nail bars
- Car washes
- Barbers
- Takeaway shops
- Construction
- Care services
Current penalties:
First breach £45,000 per illegal worker
Repeat breach £60,000 per illegal worker
Criminal offence Unlimited fine and/or up to 5 years’ imprisonment
Coming soon – expanded scope: From 1 October 2026, the prevention of illegal working regime will be extended to cover organisations hiring workers on zero-hours contracts and in the gig economy.
Action point: Ensure your right to work checks are robust and up to date. This is particularly important for employers in high-risk sectors or those using flexible workforce models. With the regime expanding later this year, now is the time to review your processes.
