Redundancies - what are the norms

Zascar

So like many other out there, there are serious rumours of redundancies going on in my company. In one way, I’d actually be happy to get the can, but only if I got a decent package. The thing is no one knows what the hell to expect. I’m told the statutory redundancy is only 2 weeks for every year served - I’ve been here a tad over 3 years – but at that crappy rate it’s not worth it. However I’ve heard other companies where theya re getting 8-10 weeks – in that case it would definitely be worth it. Unfortuantely I do not think my company are going to be that generous. However, apparently its not as simple, you get some from the government and some from your company etc etc – can anyone explain?

We are a big software company kinda like Microsoft – I work in Sales. I used to work for Dell and friends there got 6 weeks for every year. Also I'm not sure if this calculation is done from your base salary or your total earning including commission (package is 50/50 split between them). I’m just wondering if anyone knows what are the norms etc etc just so I can get an idea. I don’t want to ask cause it might seem like I want to go, and I might get shafted.

Anyone know any more?
Thanks

lynchie

Statutory is 2 weeks pay per year + a bonus week capped up to €600 per week. That is all that is required by law, anything else is up to the discretion of the employer.

bobzee

It really depends on the employer, their culture, and their financial situation.

Basically you are entitled to statutory thats it...I too am in the IT business and have been made redundant twice in the last 8 years due to the companies closing their Dublin office. The first time it was a scandinavian firm, and we got 5 weeks per year which I am lead to believe was generous.

I was then made redundant Christmas 2008 by a US software firm and we got 2 weeks (including statutory..basically we got statuory but without the cap)..and if anybody complained they were told they were lucky to be getting it.

From different people I have talked to 4-5 weeks is seen as average anything over that is very good...8-10 weeks is exceptional I would have thought.

Welease

Pretty much what the other's said... One other factor is how the company is doing financially. If they are still in healthy profit you are likely to get a larger payout than a company going broke obviously.

Additionally iirc, the payout is tax free (please check this though), so it can equate to a lot more than it initially looks when not paying your normal tax rate plus prsi.

Zascar

Thanks. The company overall is doing very well, miles better than the competition. Our department hasn't done so well in the last few months so they need to cut costs...

3DataModem

Statutory for you is approx ( 3 x 2 + 2 ) x 600 = 4,800 and would most likely be completely tax free.

Pythia

I work in a bank and our voluntary redundancy package is 7.25 weeks per year so you can get a good deal.