FAQs

What are the legal requirements for redundancy pay?

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.

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Other questions we get asked about Support

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What if someone is absent without explanation (AWOL)?

Make repeated contact attempts, document everything, and invite them to a meeting. If no valid reason emerges, manage under your disciplinary policy.

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How do I manage an unfair dismissal claim?

Follow Procedure: Ensure that the dismissal followed a fair process, including investigation, warnings, and opportunities for improvement. Document Everything: Keep detailed records of performance issues, warnings, and any meetings or communications. Provide Reasoning: Be clear about the reasons for dismissal, ensuring they are valid and consistent with company policies. Offer Appeal: Allow the employee to […]

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Support

How do I correctly calculate holidays for leavers?

Holiday Entitlement  – (pro rata) number of days worked/number of days in a year x Holiday Entitlement (Incl Bank Holidays) Subtract any holiday already taken. If the employee has taken more than accrued, deduct the overused days from their final pay. If they’ve accrued more leave than taken, pay for the remaining days. For free […]

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Support

An employee’s been absent for a while. What should we do?

Keep in touch sensitively, hold review meetings, seek medical/Occupational Health advice. Consider reasonable adjustments, and follow your absence/capability policy. Treat long-term sickness fairly and consistently.

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Support

How much notice do I need to give a leaver?

The statutory notice period in the UK depends on how long an employee has worked for their employer: 1 month to 2 years: At least one week’s notice 2 to 12 years: One week’s notice for each year of service, up to a maximum of 12 weeks 12 years or more: 12 weeks’ notice Contractual […]

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Support

If an employee is sick during their notice period do I pay SSP or normal pay?

You pay normal pay if the employee is off sick and unable to work during their notice period.

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