AI-Drafted Grievances, Uncapped Claims and a Tribunal System Under Strain

The rise of AI-drafted grievances, a collapsing tribunal system and the biggest shift in unfair dismissal law in a decade - what's next?

London Tribunal Building
The employment tribunal system in England and Wales is under significant and documented strain. There were 531,000 open tribunal claims at the end of Q4 2025/26, according to Ministry of Justice statistics, with the backlog growing each quarter as incoming claims continue to outpace disposals. Some hearings in London are now listed as far ahead as 2029. One employment solicitor reports being told last week of a claim listed for 2030. Against this backdrop, a new and largely unreported pressure is bearing down on employers: the rise of AI-drafted grievances arriving in HR inboxes with a formality and volume that the employment landscape has not previously seen. What an AI-Generated Grievance Looks Like Employment solicitors advising employer clients report a definite increase in volume over the past six months in particular. The grievances arriving are longer, more formal, more detailed and more persuasive than those that preceded them. Experienced practitioners can identify AI-drafted documents quickly. The format, style and content are distinct, but it is often a specific kind of error that confirms it. "Often there will be a key error in the legal position articulated, which would not be made by a solicitor," says Amy Cunningham, an employment lawyer who advises start-ups, SMEs and individuals. "That generally confirms to us that the individual is not getting legal advice, and is relying on AI instead." The practical consequence for employers is not straightforward. Although the initial work of interpreting a grievance and identifying potential claims is reduced, the overall time and cost involved increases. A more detailed grievance demands a more thorough and involved response, and that translates directly into more resources and higher legal costs. There is a secondary effect that is harder to quantify but equally significant. "AI tells an employee what they want to hear," says Cunningham. "It does not objectively assess the merits of the claim and advise on the realistic value of that claim. AI often overstates potential claims and outcomes." The result is that cases which might previously have settled quickly are taking longer to resolve. The View From HR The impact is not felt solely in legal teams. HR directors are encountering the same shift at the point where grievances first land. One senior HR director, who asked not to be named due to ongoing tribunal proceedings, has seen the change in the character of what arrives. "We are seeing increasingly aggressive litigation from employees with no legal representation, pursuing claims that in many cases are tenuous at best. The cost of defending these is running into thousands, regardless of the merits." The combination of more detailed documentation and inflated expectations creates a particular challenge at the informal resolution stage, where many disputes could otherwise be resolved before formal process begins. Access to Justice or Volume Without Merit? There is a legitimate argument that AI is democratising access to justice for workers who cannot afford legal representation. Cunningham acknowledges this directly. "AI is in many ways levelling the playing field, giving employees the confidence to raise concerns with some legal knowledge, even if they cannot afford to consult a solicitor." But the risk is a substantial increase in the number of claims heading for a tribunal system that is already seriously overburdened, even where those claims lack merit. The Work Rights Centre's May 2026 report, Employment Tribunals in Crisis, found that the backlog represents the highest level since records began in 2017, a 43% increase in twelve months. Meanwhile, the number of employment judges in post is 19% below the 2022 level, according to the same report. The Law Society of England and Wales has described the situation as alarming, warning that prolonged uncertainty is taking a high personal and financial toll on both individuals and businesses, and calling for the tribunal system to be properly funded and resourced ahead of further legislative change. The January 2027 Pressure Point Into this environment comes the most significant change to employment law in over a decade. Under the Employment Rights Act 2025, the qualifying period for unfair dismissal protection will reduce from two years to six months, effective from 1 January 2027. At the same time, the current cap on compensatory awards, presently set at £118,223 or 52 weeks' gross pay whichever is lower, will be abolished entirely. Tribunals will be able to award compensation based solely on actual financial loss, with no ceiling. This is confirmed in the government's own implementation timeline, published in April 2026. The government's own impact assessment estimates that an additional six million workers could become eligible to bring unfair dismissal claims once the qualifying period change takes effect. The extended waiting times do create one tactical consideration for employers. Where a final hearing is years away, there is an opportunity for a more robust response to a claim and potentially less compensation offered in settlement discussions than might otherwise be the case. Employees facing years of uncertainty, stress and lack of cash are often driven to settle earlier than they might otherwise choose. But as Cunningham notes, not every claimant will accept that calculus. "Whilst some employees will want a day in court, are they willing to wait four years?" Cunningham's advice to employer clients ahead of January 2027 is direct: audit compliance with the Employment Rights Act 2025 now, ensure policies and procedures are in order, and train HR and line managers before the changes take effect. "Preventing them in the first place is clearly the best option." Grievances and Claims For employers facing an AI-generated grievance today, the practical guidance is consistent. Acknowledge receipt promptly and show the matter is being taken seriously. Then analyse what the grievance is actually about, because the document that arrives may be longer and more formal than the underlying concern warrants. Some matters can still be resolved informally or through mediation. Gather the background documents and information a solicitor will need to advise you on the merits of the claim and a potential strategy. The combination of AI-assisted grievance drafting, a tribunal system operating well beyond capacity, and a material expansion of unfair dismissal rights arriving in January 2027 means the stakes around early and effective HR practice have rarely been higher. Sources Ministry of Justice / His Majesty's Courts and Tribunals Service — Tribunals Statistics Quarterly, Q4 2025/26 https://www.gov.uk/government/collections/tribunals-statistics HM Government — Plan to Make Work Pay and Employment Rights Act: Timeline Update, April 2026 https://www.gov.uk/government/publications/implementing-the-plan-to-make-work-pay-and-employment-rights-act/plan-to-make-work-pay-and-employment-rights-act-timeline-update HM Government / Business.gov.uk — Unfair Dismissal Rights under the Employment Rights Act 2025 https://www.business.gov.uk/campaign/employment-changes/employers/unfair-dismissal-rights/ Acas — Employment Rights Act 2025 guidance https://www.acas.org.uk/employment-rights-act-2025 Work Rights Centre — Employment Tribunals in Crisis: The Blind Spot in the New Deal for Working People, May 2026 https://labourhub.org.uk/2026/05/13/four-years-for-a-hearing-new-research-lays-bare-employment-tribunal-collapse/ Law Society of England and Wales — Employment tribunal delays worsen as backlog grows https://www.lawsociety.org.uk/contact-or-visit-us/press-office/press-releases/employment-tribunal-delays-worsen-as-backlog-grows

Cited Experts

  • Amy Cunningham · Employment Lawyer and Founder, Cunningham Legal · Amy Cunningham (Individual)

    "Often there will be a key error in the legal position articulated, which would not be made by a solicitor. That generally confirms to us that the individual is not getting legal advice, and is relying on AI instead."

Cited Law Firms