Practical Guide to Applying for ET in British Labor Arbitration: £0 fee + 3-month time limit + 91% no court hearing required, a must-read guide for Chinese people to avoid pitfalls
Last month, Linda, who works as an accountant in London, sent me a WeChat message asking me: "I was fired by the company and I want to sue them for unfair dismissal, but I heard that labor arbitration is complicated and expensive?" I told her three key pieces of information: Employment Tribunal (labor arbitration) is currently free of charge, ACAS must be contacted within 3 months, and 91% of cases do not require a court hearing at all. Two months later, she received an £8,500 settlement through ACAS mediation.
Data for the first quarter of 2026 show that the number of single employment arbitration applications in the UK reached 10,424, an increase of 61% over the same period last year. In the fourth quarter of 2025, the number of single labor arbitration cases increased by 54% year-on-year. It is not uncommon for Chinese employees to lose their rights protection opportunities because they do not understand the process and miss the time limit. In today's article, we use the most practical way to break down the entire Employment Tribunal application process.
⏰ The first line of life and death: 3 months time limit, not a day can be delayed
Most employment arbitration applications must be notified to ACAS within "3 months minus 1 day" of the incident. This time limit is the iron law of - the time limit of labor arbitration is extremely strict, and applications that miss the deadline are likely to be rejected, no matter how reasonable the case is.
real case: A Chinese engineer in was forced to resign due to racial discrimination. He spent three and a half months consulting with a lawyer and sorting out evidence. By the time he formally contacted ACAS, the statute of limitations had expired. The arbitral tribunal refused to accept the case on the grounds of "timeout" and did not even have a chance to state the case.
3 common time limit misunderstandings:
📌 Myth 1: "3 months" is not a natural month
If you were laid off on April 15th, the deadline is July 14th (not July 15th). The time limit for redundancy compensation, equal pay for equal work, and strike-related unfair dismissal applications is 6 months minus one day.
📌 Myth 2: ACAS mediation will not "reset" the time limit
Early Conciliation suspends the time limit and extends it by the appropriate number of days after the mediation is over - but it never gives you an extra 3 months. Many people think that everything will be fine after ACAS. In fact, after mediation fails, you may only have a few weeks left.
📌 Myth 3: Being sick or not knowing English are not reasons for postponement
The arbitral tribunal will only extend the time limit in rare cases where it is "unreasonable to submit" or "just and reasonable", and the standards are very strict. Trying to delay by relying on "I don't know" or "I'm sick" will basically not work.
🤝 ACAS Early Conciliation: 91% of cases are concluded here
If you want to submit a labor arbitration application, you usually must first contact ACAS (Advisory, Conciliation and Arbitration Service) for "early mediation". This is not just a formality - 91% of employment arbitration cases are resolved before the formal hearing, whether through ACAS settlement, withdrawal of lawsuits or other means.
ACAS mediation process (usually completed within 6 weeks):
Step 1: Submit Early Conciliation Notice
online
Log in to the ACAS official website and fill in the basic information: your name, employer name, and dispute type. The system will give you an EC number (Early Conciliation Number). Remember this number and you must fill it in when submitting the ET1 form later.
Step 2: ACAS mediator contacts both parties
The mediator will communicate with you and the employer separately by phone to propose a settlement. Employees can choose what information can be shared with their employer. This stage is confidential and what is said during mediation cannot be used as evidence in subsequent arbitrations.
Step 3: Three possible results
✅ reached a settlement : ACAS mediation is a mandatory pre-process and the most common settlement method. In the third quarter of 2025/26, the overall ACAS settlement rate was 29%. The settlement agreement (COT3) is legally binding and the case ends when the employer pays compensation.
✅ mediation failed : ACAS will issue you an Early Conciliation Certificate. With this certificate, you can submit the ET1 form to formally apply for arbitration.
✅ One party of refuses to participate in : Either the employee or the employer can refuse to participate in the mediation, and the mediation process will end directly and enter the next step.
💡 Common misunderstandings among Chinese people: Many people think that accepting reconciliation means "admitting defeat". In fact, about 68% of cases no longer submit the ET1 form during the ACAS stage. It is often wiser to get compensation quickly and avoid lengthy litigation than to fight to the end - especially when you are still looking for a job and applying for permanent residence.
📋 Formal application: ET1 form and employer’s 28-day defense period
If ACAS mediation fails, you need to submit ET1 form (formal arbitration application form) as soon as possible after receiving the Early Conciliation Certificate. There are currently no fees for filing applications to employment tribunals – a consequence of a 2017 ruling by the UK Supreme Court that arbitration fees were unconstitutional.
Information that must be included in the ET1 form:
• Applicant (Claimant) information: your name, address, contact information
• Respondent information: employer’s company name and address
• Claim type: Unfair Dismissal, Discrimination, Unpaid Wages, etc. An application contains an average of 2.2 jurisdictional complaints
• Details of claim: clearly describe what happened, when it happened, and what compensation you are seeking
After receiving the ET1, the arbitral tribunal will send it to the employer together with the defense form ET3. The employer must submit a defense within 28 days after receiving the ET1. If the employer does not respond, about 4% of cases will result in a direct judgment in favor of the employee (default judgment) due to the employer's failure to respond. This is most common in wage disputes involving small employers.
⚖️ Before and after the trial: preliminary hearing, formal hearing and compensation award
After both parties submit the form, the case enters the Case Management (Case Management) stage. The arbitral tribunal will issue instructions requiring both parties to exchange evidence, prepare witness statements (Witness Statement), and organize document bundles (Bundle).
Possible hearing types:
1. Preliminary Hearing
Such a hearing may determine whether all or part of the application should be dismissed, for example because it is time-limited or does not fall within the jurisdiction of the arbitration. The hearing may also decide preliminary issues such as whether a person is an employee, whether the applicant has met the two years of service required for unfair dismissal, or whether the applicant meets the disability criteria for disability discrimination.
2. Final Hearing (formal hearing)
Formal hearings may be held in the arbitral tribunal building or online via video. Sometimes the entire hearing is online, and sometimes only some parties or witnesses participate remotely. The hearing is presided over by a legally qualified Employment Judge. In more complex cases (such as discrimination or whistleblowing complaints), there will also be two non-legal members forming the panel, one with a management or human resources background and one with a trade union or employee representative background.
3. Remedy Hearing (compensation award hearing)
If the application is successful, the tribunal will hold a compensation hearing to decide what compensation or other relief should be awarded. This may take place at the end of the main hearing or may be arranged on a separate date.
Reality: The waiting time is getting longer
The entire employment arbitration process can last from a few months to more than a year, depending on the complexity of the case and whether it can be settled before going to trial. The average time it takes to clear a case has risen from 19 weeks a year ago to 31 weeks now, a 63% increase in 12 months. The backlog of cases has resulted in many hearings being scheduled to 2027 or even 2028.
Of the cases that actually went to trial, 44% of applicants won. But remember, only about 9% of cases will go to a formal hearing, and the remaining 91% will be settled through ACAS settlement, withdrawal, dismissal or other means.
🚨 The 5 most common pitfalls faced by Chinese employees
❌ Pitfall 1: Wait until you "think clearly" before contacting ACAS
Time waits for no one. Even if you have not yet decided whether to file a lawsuit, you should submit an Early Conciliation notice to suspend the time limit and give yourself room to think.
❌ Pitfall 2: Don’t dare to apply for arbitration while on the job
Many labor arbitration cases are filed while still employed. Discrimination, reporting retaliation, wage deductions, and time claims often occur without termination. If you've suffered discrimination or wage theft, you don't have to wait until you leave your job to pursue your rights.
❌ Pit 3: No evidence preserved
Emails, WhatsApp chats, pay stubs, attendance records – these are all key pieces of evidence. Many people delete their company emails when they leave their jobs, and have nothing to show when they go to court.
❌ Pitfall 4: Thinking that "unfair dismissal" applies to everyone
Unfair Dismissal usually requires you to have worked for the employer for at least 2 years. If you were fired after working for less than 2 years, you can consider other application types, such as Wrongful Dismissal (illegal dismissal), Discrimination (discrimination) or Automatic Unfair Dismissal (automatic unfair dismissal, such as being dismissed after reporting).
❌ Pitfall 5: Try to outdo the professional HR team yourself
Employers usually have lawyers or HR consultants to assist with the defense. You may consider seeking support from a lawyer, trade union representative or Citizens Advice. The arbitral tribunal allows self-representation, but professional support can significantly increase the chances of winning.
📈 New changes in 2026-2027: time limit extended + threshold lowered
The Employment Rights Act 2025 received Royal Assent on December 18, 2025, bringing the largest reform of employment law in a generation. The changes will come into effect in phases in 2026 and 2027.
The key impact of on labor arbitration applications:
📅 From October 1, 2026: The application time limit is extended from 3 months to 6 months
Draft regulations have been published, confirming that the extension of the labor arbitration time limit will take effect on October 1, 2026. The Employment Rights Bill proposes to extend the time limit for most arbitration claims from three months to six months. This gives employees more time to prepare their applications, but also means employers face a longer period of potential litigation.
📅 January 2027: Unfair dismissal service period reduced from 2 years to 6 months
The unfair dismissal qualification period will be shortened from two years to six months (expected to come into effect in January 2027), and the government estimates that an additional 6 million employees will have the right to bring an unfair dismissal claim. This means that more Chinese migrant workers (especially those who have just changed jobs) can use Unfair Dismissal to protect themselves.
These changes are expected to further push up the number of arbitration applications, putting greater pressure on the system and potentially longer waiting times.
✅ Written at the end: Labor arbitration is not a scourge
Many Chinese people feel that the Employment Tribunal is the last step in "breaking up the relationship" and they should endure it if they can. But in fact, formal hearings are public, the media and the public can observe part or all of the hearings (including those conducted online), and witness statements and document bundles must also be open to the public - this transparency mechanism itself is a constraint on employers.
Remember three core principles: ① The time limit is the lifeline, ACAS must be contacted within 3 months; ② Evidence is the trump card, keep all records before leaving the company; ③ Reconciliation is not admitting defeat, and it is wiser to get reasonable compensation than to fight to death.
If you are experiencing unfairness in the workplace and are not sure whether your situation is suitable for applying for arbitration, you can use 永居计算器APP (https://justiscript.com/ilr) to record key time points, or add our lawyer WeChat uklvshi for consultation. The law protects everyone who works in the UK - whether you are a permanent resident, work permit or student visa holder.
💬 Interactive topic: Have you or your friends ever had labor arbitration experience? Was the ACAS mediation smooth? Welcome to share your story in the comment area to help more Chinese people understand the rights protection process 👇
📚 Data source
1. GOV.UK - Make a claim to an employment tribunal
2. ACAS - Employment tribunals guidance
3. Ministry of Justice - Tribunal Statistics Quarterly (Q3 2025/26)
⚠️ Disclaimer: This article is for informational purposes only and does not constitute legal advice. Please consult a licensed attorney or ACAS official service for specific cases.
📚 Data source
·https://yerty.co.uk/guides/employment-tribunal-statistics-2025
·https://www.acas.org.uk/employment-tribunals
· https://castleassociates.org.uk/blog/time-limits-for-employment-tribunal-claims-in-2026