(1) After section 12 of the Employment Tribunals Act 1996 insert -
"Financial penalties
12A Financial penalties
(1) Where an employment tribunal determining a claim involving an employer and a worker -
(a) concludes that the employer has breached any of the worker's rights to which the claim relates, and
(b) is of the opinion that the breach has one or more aggravating features,
the tribunal may order the employer to pay a penalty to the Secretary of State (whether or not it also makes a financial award against the employer on the claim).
(2) The tribunal shall have regard to an employer's ability to pay -
(a) in deciding whether to order the employer to pay a penalty under this section;
(b) (subject to subsections (3) to (7)) in deciding the amount of a penalty.
(3) The amount of a penalty under this section shall be -
(a) at least £100;
(b) no more than £5,000.
This subsection does not apply where subsection (5) or (7) applies.
(4) Subsection (5) applies where an employment tribuna
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