Can my employer change my redundancy terms?
Your employer can’t validly impose new terms and conditions without the agreement of employees. Any changes have to be agreed by the employee or their trade union representatives on their behalf.
Does length of service affect redundancy?
The Court of Appeal has confirmed that the use of length of service as a criterion for redundancy selection is lawful where it is fairly applied, although it may constitute indirect age discrimination that requires objective justification in order for the discrimination to be fair.
What is reckonable service for redundancy?
Reckonable service is the length of time you have been continuously employed in your job that is taken into account when calculating a redundancy payment. Reckonable service does not mean how many weeks you were employed for. It means how long you were actually in work doing the work.
What is the qualifying period of service for a redundancy payment?
two years
If you’ve been in the same job for at least two years, your employer has to pay you redundancy money. The legal minimum is called ‘statutory redundancy pay’, but check your contract – you might get more.
Can I be made redundant and then replaced?
Although you cannot make someone redundant and then replace them with someone fulfilling the exact same role, you may be able to replace them in a similar position. The contract must look different and there must be discernible and reasonable changes that require the redundancy and refilling of the position.
What is sham redundancy?
Examples of a sham redundancy Your employer has either taken on someone new to carry out your role, or advertised it externally. The role remains the same but your employer simply amends the job title. You are made redundant from a part-time role because they want to make it full-time.
How is service length of redundancy calculated?
The time you’ve worked for your employer is called your length of service. Work this out by counting the number of full years you’ve worked for your employer. Your length of service should start on your first day at work and finish on the day your employment ends.
Does notice period count towards redundancy?
If you’re made redundant, your job won’t end straight away – you’ll get a paid notice period. As long as you work your normal hours in your statutory notice period you’ll get your normal pay. This is as well as any redundancy pay you’re entitled to.
Is there a cap on redundancy payments?
There are limits to how much redundancy pay you can get. You can only get it for up to 20 years of work. This means, for example, that if you’ve worked for your employer for 22 years you’ll only get redundancy pay for 20 of those years.
Do you get paid for voluntary redundancy?
Voluntary Redundancy Pay The amount you get depends on several factors including the length of your employment at the company, your age, and your pay grade. Voluntary redundancy payouts from your employer are usually higher than statutory payments.
Is redundancy pay based on current salary?
Redundancy pay is based on your earnings before tax (called gross pay). For each full year you’ve worked for your employer, you get: up to age 22 – half a week’s pay.
Do you have to pay for redundancy pay?
If an employment agreement mentions redundancy pay, the employer will have to pay for the redundancy. However, if an employment agreement doesn’t mention any such clause, an employee isn’t legally entitled to redundancy pay. If you have a workplace issue, you may want to use the Early Resolution Service to resolve it early, quickly and informally.
How are redundancy entitlements determined in the NHS?
Redundancy entitlements are, in the main, determined by service criteria. In redundancy compensation, there are two concepts of service – continuous service which employers need to consider first and reckonable service which then determines the period (s) of service to be counted in paying redundancy.
Do you pay tax on superannuation redundancy payments?
payments made in lieu of superannuation benefits. Any payments that meet the conditions of a genuine redundancy are tax-free up to a limit based on your years of service with your employer. The tax-free limit is a flat dollar amount plus an amount for each year of service you complete in your period of employment with your employer.
Can a employer require an employee to work out a redundancy notice?
An employer can require an employee to work out their notice. If an employment agreement mentions redundancy pay, the employer will have to pay for the redundancy. However, if an employment agreement doesn’t mention any such clause, an employee isn’t legally entitled to redundancy pay.