know your REDUNDANCY rights

If you’re made redundant, you can ask for a consultation to question the reasons why – and if there is suitable alternative employment. If you think you have been unfairly dismissed, contact your nearest Citizens Advice and they will help you. You must be selected for redundancy fairly – not due to age, gender, or if you’re disabled or pregnant.

If your employer is insolvent, so they can’t afford to pay their debts, you can apply to the government for a redundancy payment, as well as outstanding payments like unpaid wages, overtime and commission, or money you would have earned working your notice period.

The person dealing with the insolvency will tell you what to do, and give you a fact sheet and case reference number. You’re entitled to statutory redundancy pay if you’ve been working somewhere for two years or more. It’s half a week’s pay for each full year you were under 22; one week for each full year you were between 22 and 40, and one and a half week’s pay for each full year you were 41 or older. If you were made redundant on or after 6 April 2020, weekly pay is capped at £538, and the maximum total redundancy pay is £16,140. All redundancy pay up to £30,000 is tax-free. You must be given a notice period of at least a week if you’ve worked somewhere for between a month and two years, or one week’s notice for each year if employed between two and 12 years. You should get 12 weeks’ notice if you were employed for 12 years plus. Your employer should either pay you through your notice period, or pay you in lieu if you can’t work it. That should be all the basic pay you would’ve received for the length of the notice period, but may also include pension contributions. Check your contract – and good luck!