Statutory redundancy pay if employees have at least 2 years of continuous service.
The amount paid depends on age, years of service, and weekly salary (up to a cap). The formula is:
half a week’s pay for each full year you were under 22
one week’s pay for each full year you were 22 or older, but under 41
one and half week’s pay for each full year you were 41 or older
Length of service is capped at 20 years.
The maximum weekly pay used for calculation is capped at £700 and tax free up to £30K (2024 figure).
Refer to individual contracts as enhanced redundancy pay may be offered.
To minimise legal risks: Consult Experts – Seek HR advice when handling complex HR matters! Follow Employment Laws – Stay updated on labour laws and regulations. Document Everything – Keep detailed records of performance, complaints, and terminations. Train Managers & HR – Provide training on fair hiring, workplace conduct and payroll compliance. Use Clear Policies – Ensure policies on termination, discrimination, and wages are well documented and consistently applied. Conduct Regular Audits – Review payroll, contracts, and workplace practices to identify risks.
Read moreCommunicate clearly and early, involve employees where possible, and support managers to lead through change. Consistency, transparency, and listening to concerns help build trust and reduce resistance.
Read moreInvest in manager training, set clear expectations, keep documentation tidy, and resolve issues informally where appropriate. Consistency and early intervention prevent escalation.
Read moreStart with a fair investigation. Consider suspension only if necessary. If there’s a case to answer, invite to a hearing with evidence, allow a companion, decide an appropriate outcome, and offer a right of appeal.
Read moreCheck the employment contract for a layoff clause. Provide written notice explaining the reason for the layoff. Offer statutory guarantee pay if eligible. Consult with the employee and explore alternatives (e.g., reduced hours). If the layoff is extended, consider redundancy procedures. The employee can also request redundancy. Employees can apply for redundancy and claim redundancy […]
Read moreTo manage compliance effectively: Hire Breathing Space to keep you on track OR failing that!Stay Informed: Regularly review industry regulations and legal updates. Train Your Team: Provide compliance training for employees and managers. Document Policies: Maintain clear policies and update them as needed. Conduct Regular Audits: Identify and address risks proactively. Seek Legal Expertise: Consult legal professionals for guidance. Use Compliance Tools: Leverage software to track deadlines and requirements.
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