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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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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How do I legally lay off an employee?

Check 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 […]

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How do we handle disciplinaries?

Start 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.

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Support

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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Support

If an employee is suspended pending investigation and they produce a fit note saying work related stress which process do I now follow?

You continue the suspension process, as a fit note for work-related stress does not override the suspension. However, you should acknowledge the fit note, offer support, and manage the investigation sensitively.

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Support

What documents should we keep during grievances/disciplinaries?

Investigatory notes, statements, letters/invitations, evidence considered, outcome letters, and appeal records. Store securely and only as long as necessary.

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