If you are considering bringing a discrimination claim in the employment tribunal or the civil courts, it is important to understand your duty to mitigate your losses. This is a legal principle requiring claimants to take reasonable steps to minimise the impact of the acts complained of in legal proceedings.
The purpose of mitigation is to demonstrate that you have acted reasonably following the incident and have made genuine efforts to avoid unnecessary losses. If a claimant fails to take reasonable steps, a judge may take this into account when assessing the levels of any compensation to be awarded and, in doing so an award may be reduced to reflect this.
There is no single way to mitigate losses as the appropriate steps depend on the circumstances of each case. However, common examples include:
- Engaging with the other side’s internal procedures and attempting to resolve the issue informally where appropriate.
- Submitting a formal complaint or grievance and pursuing any available appeals.
- Escalating the matter to a relevant regulator, ombudsman or governing body where applicable.
- In employment related claims, actively seeking alternative employment if you have lost your job or experienced a reduction in earnings.
Whilst these steps may seem straightforward, they are often overlooked. Following experiences that have damaged trust and confidence, many individuals understandably feel reluctant to engage with the organisation responsible. However, taking these reasonable actions can not only help resolve the matter earlier but can also strengthen a claim if legal proceedings become necessary.
Ultimately, mitigating your loss is about showing that you have made reasonable efforts to address the situation and reduce the impact on yourself. By engaging with available processes and seeking practical solutions, you place yourself in a stronger position should your claim proceed further.
If you are an organisation, service provider or employer and you receive a complaint of discrimination whether formally or informally, it is important that you act reasonably in investigating and responding to any concerns raised. Should a Claimant fail to mitigate their losses despite your efforts to engage with them to resolve issues informally, this may be subject to criticism by a Court or Tribunal, should a claim be brought against you.
How can Stephensons help?
At Stephensons, we advise both individuals and organisations on their rights and obligations under the Equality Act 2010 and how they may seek to deal with a situation to attempt to resolve it at the earliest opportunity, to avoid engaging in protracted and costly proceedings.
If you believe you have experienced discrimination whilst accessing services, we have a number of specialists who may be able to advise you on your legal rights and whether it is recommended that you seek to resolve a matter outside of the legal process before taking action, bearing in mind the strict timeframes applicable to claims of this nature.
Alternatively, if you are a service provider seeking advice on complying with your obligations under the Equality Act 2010, reviewing your policies or responding to allegations of discrimination to resolve issues (formally or informally), our specialist team can provide practical guidance to help minimise legal risk and promote an inclusive environment.
Contact us today on 0161 696 6170 for expert advice on your rights and obligations under the Equality Act 2010 and how you may be able to mitigate your loss.
Blog author: Daisy Ball
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