Redundancies for Employees
We understand how it can feel be to made redundant. You feel financial insecurity and suddenly you may struggle to make ends meet. This can be a very stressful period in your life which could lead to depression, anxiety and even anger. Often redundancy comes out of the blue and that is why it can cause so much stress and unsettlement as there is no time to find another job. In view of this, you should ensure that if you have the required length of employment (2 years) then you receive a statutory or contractual redundancy payment together with notice and holiday payments.
Redundancies for Employees
Your employer should consult with you before making any redundancies to see whether your job can be saved.
There may be options such as job share, redeployment or reduced hours and further flexibility to save your job. Once all avenues are exhausted then your employer can make you redundant if there is evidence your job no longer exists.
The statutory redundancy notice periods are: at least one week’s notice if employed between one month and 2 years. one week’s notice for each year if employed between 2 and 12 years. 12 weeks’ notice if employed for 12 years or more.
What Reasons Can My Employer Make Me Redundant For?
In order for a redundancy to be genuine, your job must no longer exist. This may because business is poor or your workplace has to close or move.
In some instances there may be new processes or other employees doing your role and this is why the redundancy is required.
Am I Able to Appeal My Redundancy?
You can appeal your redundancy and your employer will usually let you know when this should happen and how many days you have to appeal from the redundancy notice.
You must have 2 years service to challenge any redundancy (pursue a claim for unfair dismissal). But if you think you have been made redundant due to a protected characteristic under the Equality Act 2010, such as pregnancy, race or disability then you may have a claim for discrimination and claim the redundancy was automatically unfair.
How Much Redundancy Pay Am I Entitled to?
Provided you have 2 years continuous service you should entitled to a statutory redundancy payment. However, if your employer has an enhanced redundancy scheme (details should be within your contract or the staff handbook) then you may be entitled to an amount above the statutory payment.
The statutory redundancy payment is calculated according to length of service, weekly gross pay and age. Therefore, you would receive half a weeks pay for each full year if under 22 years of age; one week’s pay for each full year if 22 years or older and one and a half weeks pay for each full year if 41 years and older.
The payment is capped at 20 years and weekly page is capped at £571.00 (the weekly pay cap is reviewed each year).
