1.Introduction
As indicated in the key words of the case report of Dunnachie v Kingston Upon Hull City Council [2004] IRLR 727 HL, the decision of the House of Lords in this case mainly deals with scope of “compensatory award” or “compensation” as a remedy in “unfair dismissal” actions concerning the judicial interpretation of Employment Right Act 1996 (‘ERA’) section 112, 113,114 (2) (a), 115 (2) (b), 123 (1), 123 (2). It was held that section 123 (1) does not allow for the recovery of non-economic loss resulting from an unfair dismissal. To explore the impact of this decision on regulation of unfair dismissals, I will start from the original legislation and case law, and then compare the legal position prior and subsequent to it.