1 February 2005
Redundancy pay increase to £280
The weekly amount for redundancy pay has increased from £260 to £280.
To qualify for redundancy pay your employee must be 18 or over and have at least two years continuous employment. This means that they must have been working in the same job, without any breaks, apart from maternity, sickness and unpaid leave, for at least two years.
If your employee is between 18 and 21 they qualify for half a week's pay, or £140, whichever is lower, for every year of continuous employment. If they are between 22 and 40, they qualify for one week's pay, or £280, whichever is lower, for every year of continuous employment, and if they are between 41 and retirement they will qualify for one and a half week's pay, or £420, whichever is lower, for every year of continuous employment.