Hotel Mode
Yes, the company can refuse to comply with a reinstatement order, but there are two consequences. Firstly, an additional amount of compensation (not strictly a fine) can be awarded for the failure to reinstate. Secondly, the cap on compensation for unfair dismissal is lifted, so there is no limit on the amount of compensation that can be awarded.
Its not unlimited, its very limited, see below. Tribunals hardly ever call for reinstatement anyhow. Especially where the return of said employee is likely to cause problems, something I dont think BA would have much trouble proving.
Unfair Dismissal Claims: The Additional Award
Should the employer fail to comply with a tribunal order to reinstate or re-engage the employee, the tribunal can award 26-52 weeks pay in addition to the basic and compensatory awards.
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Given the amount BA will save on lower basics for new staff its still a big win for BA should they wish to use this route.