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Redundancy is defined as dismissing an employee because you no longer need anyone to do their job. Employees may be entitled to Statutory Redundancy Pay, however to be eligible they must:

  • Be an employee working under a contract of employment
  • Have at least 2 years’ continuous service
  • Have been dismissed, laid off or put on short-time working – those who opted for early retirement don’t qualify

The employee is entitled to a statement setting out the amount of pay they will receive and how it has been calculated. They must receive the payment when they are dismissed or shortly afterwards.

Further guidance can be found on the Gov.UK site here:

https://www.gov.uk/redundant-your-rights/overview

And more information about Statutory Redundancy Pay can be found on the Knowledge Nugget blog about Making Staff Redundant