Thousands More Cases Expected To Enter An Already Stretched Employment Tribunal System

New government analysis suggests that planned employment law reforms could significantly increase the number of workplace disputes progressing through Acas early conciliation and into the employment tribunal system, adding further pressure to a structure already facing capacity pressures.

According to analysis published alongside the Employment Rights Act, which received royal assent on 18 December 2025, the anticipated increase could be around 17%, with thousands more disputes expected to enter formal resolution processes once the reforms take effect over the next two years.

Why are more cases expected?

The projected increase is linked to provisions within the Act, which is intended to broaden access to certain employment rights and protections. The government’s analysis suggests this could lead to a higher number of potential claims being raised, both through arbitration routes and employment tribunals.

One of the headline changes is the reduction in the qualifying period for unfair dismissal claims, shifting from two years’ service to six months. This change alone is expected to bring a larger group of employees within scope of eligibility, increasing the likelihood of early disputes escalating into formal claims.

The Act is also expected to remove or significantly relax the cap on unfair dismissal compensation, which may increase the financial exposure associated with some claims, particularly those involving higher earners.

The analysis indicates that the volume of early conciliation notifications to Acas is expected to rise, with a corresponding increase in the number of cases that proceed to tribunal hearings, including those requiring judicial time such as full hearings.

What does the government predict in real terms?

In its published estimates, the government suggests the increase could mean around 21,000 additional early conciliation notifications, roughly 6,900 more tribunal claims, and around 1,300 additional cases requiring judicial time, such as full hearings.

The government stresses that these figures are illustrative and subject to change depending on behavioural and operational factors, including whether employers comply with the new regulatory expectations, and whether employees decide to pursue disputes formally.

A growing workload meets existing capacity pressures

This comes at a time when employment tribunal waiting times and outstanding caseloads have already been widely reported as increasing. Delays of this kind affect both sides of the employment relationship. For employees, the tribunal process can become an extended period of uncertainty, often with financial and personal stress attached. For employers, unresolved claims can create operational disruption, ongoing cost exposure and reputational concerns, particularly for smaller organisations where management time and cashflow are under greater pressure.

What should employers and employees take from this?

If the projected increase in tribunal volume materialises, organisations will need to place greater emphasis on early risk management, well-documented decision-making and effective internal grievance resolution. Employment claims are rarely just about a legal point in isolation; they often begin with poor communication, misunderstandings, or a breakdown of trust that escalates. Strong HR policies and early intervention can make a meaningful difference.

For employees, the reforms may increase access to formal legal protections. However, tribunal claims can be complex, time-consuming and stressful, and it remains important for individuals to understand their position early, including the evidence available, the time limits for bringing claims, and the alternatives to tribunal litigation.

A system under strain and reforms that may increase demand

Employment law reform is often driven by an intention to improve fairness and accountability in the workplace, but the practical impact depends heavily on whether the enforcement and dispute resolution mechanisms can keep pace. The government’s own figures acknowledge that tribunal capacity and behavioural factors will influence the real-world impact of the changes.

The key question will not only be what rights are expanded, but whether the system designed to uphold them can deliver outcomes within a reasonable timeframe.

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