Redundancy Payouts

DiscoKandy · 20 Jan 2010 at 20:26

The company I work for has just announced its going to make 1 in 4 people redundant due to the economic downturn. The redundancy offer is 3 weeks pay for every complete year of service.

Statute is 1.5 weeks for someone aged 21+, having never been in this situation before I wondered how this compared with other people who had been made redundant or offered voluntary severance?

dangerstat · 20 Jan 2010 at 20:27

That's not terrible to be honest.

hornett · 20 Jan 2010 at 20:28

The last company I worked for had a redundancy package, so for 5 - 7 years service you got 5 months wages plus statutory so when they offered me voluntary redundancy I bite their hand off and ran

Fiocca · 20 Jan 2010 at 20:30

I got the basic :/ Think yourself very lucky you would get that! On the other hand, let's hope you don't. Good luck.

Destination · 20 Jan 2010 at 20:33

Yup, thats very reasonable.

Dolph · 20 Jan 2010 at 20:34

That's not that bad, especially as redundancy payments are not subject to tax and NI...

BlueMhz · 20 Jan 2010 at 20:46

I believe the first £30,000 of redundancy money is tax free.

DiscoKandy · 20 Jan 2010 at 20:50

I figured it wouldn't be too bad an offer, amazed companies don't just get away with the bare minimum legal requirement.

Greebo · 20 Jan 2010 at 20:51

Its only 1 week per year aged 21+. 1.5 weeks aged 41+

So it's not a bad offer. lots of firms just pays the minimum.

DiscoKandy · 20 Jan 2010 at 20:53

Greebo said:
Its only 1 week per year aged 21+. 1.5 weeks aged 41+

So it's not a bad offer. lots of firms just pays the minimum.

Your right, is 1 week at 21+

Cyanide · 20 Jan 2010 at 20:58

DiscoKandy said:
Your right, is 1 week at 21+

And I think I'm right in saying it's one week for every year after you turn 21, so you'd get naff all if you'd done 5 years straight from school even if you were 21+

Don't you love age discrimination?

Kemik · 20 Jan 2010 at 21:10

You have to have been employed with them for two years solid to get redundancy too.

Rotty · 20 Jan 2010 at 21:10

yes it's only 1 week per year and subject to a cap too

3 weeks per year is better than average

Flibster · 20 Jan 2010 at 21:34

Thats a pretty reasonable offer. I only got the bare minimum they could get away with.

spoonz · 20 Jan 2010 at 21:36

What Economic turn down?

GSXRMovistar · 20 Jan 2010 at 22:20

Yep as above it's only the first £30k that's tax free.

[TW]Fox · 20 Jan 2010 at 22:26

Some of its tax free. First £30k!

Uther · 20 Jan 2010 at 22:30

I got 1.5 weeks for every year,plus 12 weeks wages in lieu as I was a troublemaker!

All the 'company men' got their 1.5 weeks,but had to work their 12 weeks notice!

apatia77 · 20 Jan 2010 at 22:35

When I was made redundant I got nothing as I only worked for them for 1.5 years.

RDM · 20 Jan 2010 at 22:38

I got 3.5 weeks per year of service, which is pretty reasonable. Also an additional four weeks holiday pay as we accured holiday in advance for the following year and I got let go at the beginning of April.