If you’re being made redundant, you might be entitled to redundancy pay. You’ll only get redundancy pay if it is a genuine redundancy – check if your redundancy is fair. There are 2 types of redundancy pay you could get: ‘statutory’ redundancy pay – what the law says you’re entitled to.
How much pay do you get if you’re made redundant?
Your employer must give you: 1.5 weeks’ pay for each full year you worked from age 41. 1 week’s pay for each full year you worked when you were between 22 and 40. half a week’s pay for each year you worked when you were between 17 and 21.
What’s the maximum pay you can get if you are made redundant?
If you were made redundant on or after 6 April 2020, your weekly pay is capped at £538 and the maximum statutory redundancy pay you can get is £16,140. If you were made redundant before 6 April 2020, these amounts will be lower. Calculate your redundancy pay. Redundancy pay (including any severance pay) under £30,000 is not taxable.
Why was an employee made redundant by the employer?
An employee may be made redundant because: the job they have been doing is replaced because their employer introduced new technology (that is, it can be done by a machine) the employer stops trading because they became bankrupt or went into liquidation. Whether you are entitled to redundancy pay, and how much you should be paid, will depend on:
What happens to your pay when you get a redundancy notice?
Your weekly pay is the average you earned per week over the 12 weeks before the day you got your redundancy notice. If you were paid less than usual because you were ‘on furlough’ because of coronavirus, your redundancy pay is based on what you would have earned normally.
Do you get redundancy pay if you are dismissed for misconduct?
Being dismissed for misconduct does not count as redundancy, so you would not get redundancy pay if this happened. You’re not entitled to statutory redundancy pay if you fall into one or more of the following categories: former registered dock workers (covered by other arrangements) and share fishermen
