Redundancy Question

dlambirl

Hi everyone.

A friend of mine is facing being let go and wants to know what his redundancy package might be.

He's been with his current employer for approximately 9 years and earns a good wage (currently almost €1000 per week). He used to work for a sister company of his current employers for 3 years previous. Will he be entitled for redundancy for the previous 3 years or just the 9 years.

One of the directors in the old company was a director in his current company.

Thanks.

gerrycollins

the minimum he is entitled to is two weeks wages for every year worked in the current company. so 9 years at 2 weeks each go figure

anything after that is at the companies discretion

Newaglish

Citizen's Information - Redundancy

Also to note, the statutory redundancy payment is capped at €600 per week; minimum he would be entitled to would be:

9 (years) * 2 (weeks) * €600 = €10,800 tax free lump sum

Im 90% sure he's not entitled to any redundancy in respect of the three years spent in the other company. Despite the fact that it's a related company, he would have an entirely new employer (different employe PAYE etc.) with a new work contract. Feel free to contradict however

brightspark

Newaglish you forgot to add the further week's pay

* Two weeks' pay (subject to a maximum of €600 per week or €31,200 per year) for every year of service, regardless of age, and
* One further week's pay

so €11,400.

The other 3 yrs MIGHT count IF he had continuity of employment, i.e. IF he was still employed doing the same work,with just with a new company owning the business since.