Employers in the district are being put under unnecessary pressure by tribunals, according to the Engineering Employers' Federation Yorkshire and Humberside.
It says the number of "feeble" cases sent to employment tribunals is threatening the efficient running of "this low cost system of bringing justice to employment disputes".
The Federation says in some cases employees are trying to pursue claims when there is little or no legitimate grievance. It says some workers even try to bring cases to get revenge or win money.
Ian Hughes, regional director of the EEF, said: "Over the last year or so, there has been a sharp increase in what can only be described as feeble claims - where an employer is found to have little, if any, case to answer.
"In 2001, almost one in four claims were withdrawn by the applicant before reaching a hearing.
"This might be the result of cool thinking prevailing, but the employer in the meantime has had to prepare a full defence of the allegations, involving unnecessary time and expense.
"The vast majority of both tribunal awards and settlements remain substantially below the figures in high profile public cases, which create a misleading impression and may even encourage former employees to pursue a case where there is no legitimate grievance."
Mr Hughes said there was a case for the government to devote more time and resources to conciliation, in an attempt to limit the number of claims and encourage the earlier settlement of disputes.
He added: "We have no wish to restrict the tribunal system, but it has to be understood that responding to a case which fizzles out at an early stage puts considerable and unnecessary pressure and expense on an employer."
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