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Has the government Statutory Redundancy been abolished?

  • 20-09-2013 3:20pm
    #1
    Closed Accounts Posts: 1,386 ✭✭✭


    Someone told me today that the government were no longer paying the 2 weeks for every year worked and any redundancy received is only paid by companies if they so wish to pay.

    Surely I would have heard something about this in the news about it if this was true. The person was pretty adamant.


Comments

  • Registered Users, Registered Users 2 Posts: 738 ✭✭✭Gaillimh1976


    Someone told me today that the government were no longer paying the 2 weeks for every year worked and any redundancy received is only paid by companies if they so wish to pay.

    Surely I would have heard something about this in the news about it if this was true. The person was pretty adamant.


    You are still entitled to redundancy (as above) but the Company has to pay it. Until a few years ago the govt used to repay 60% to the company, then this reduced to either 15% or 20% can't remember which, and then it was abolished. (The repayment by Govt to the employer, not redundancy entitlements)

    I think if the company proves to Welfare that they can't pay it (e.g. in liquidation) there is some way to claim it from Welfare but can take a while.


  • Registered Users, Registered Users 2 Posts: 5,494 ✭✭✭SCOOP 64


    Don't know when this came in, but my company went into liquidation on 08/12
    received my redundancy payment from government scheme in November 2012 (surprised how quick it came in),worked out what i was expecting 2 weeks per year, in April 2013 received another cheque for back pay and holiday entitlements also from government scheme, but the company as to go into liquidation and affectively be broke to get payments from government scheme.
    The liquidator's did all the paperwork for the claim.


  • Registered Users, Registered Users 2 Posts: 3 Macyloo


    If your company cannot pay the redundancy you complete a form called RP50 form and you and your employer sign it and send it to the redundancy section in Department of Social Protection. They pay your statutory entitlement to you then. If you need update of claim or anything about redundancy phone [number removed by moderator] They can help you


  • Closed Accounts Posts: 1,386 ✭✭✭another question


    Macyloo wrote: »
    If your company cannot pay the redundancy you complete a form called RP50 form and you and your employer sign it and send it to the redundancy section in Department of Social Protection. They pay your statutory entitlement to you then. If you need update of claim or anything about redundancy phone "[number removed by moderator]. They can help you

    My company is a branded store owned by an umbrella companys which owns lots of other branded stores.

    In this case, would the umbrella company as a whole have to be unable to pay redundancy or just prove that the the particular brand wasn't making them money and therefore not pay the staff of that brand their redundancy.

    For example: (Umbrella company is called - A) all the little branded companies it owns are (B, C, D, E and F) but the payslips of all employees state that they are employees of company A not of any of the other brands individually.

    Also with regard to applying to SW via the form above, will SW pay 2 weeks for every year? because now there is a mutter from our umbrella company that they will only pay us a 1 week for every year.


  • Registered Users, Registered Users 2 Posts: 738 ✭✭✭Gaillimh1976


    My company is a branded store owned by an umbrella companys which owns lots of other branded stores.

    In this case, would the umbrella company as a whole have to be unable to pay redundancy or just prove that the the particular brand wasn't making them money and therefore not pay the staff of that brand their redundancy.

    For example: (Umbrella company is called - A) all the little branded companies it owns are (B, C, D, E and F) but the payslips of all employees state that they are employees of company A not of any of the other brands individually.

    Also with regard to applying to SW via the form above, will SW pay 2 weeks for every year? because now there is a mutter from our umbrella company that they will only pay us a 1 week for every year.


    The company you are employed by (so company A in your example) would have to prove inability to pay. In most cases this would mean closing the company and liquidating it.

    SW will pay 2 weeks per yr, plus 1 week

    eg. 5 yrs = 11wks, 6 yrs = 13wks etc etc

    This is a legal entitlement so company cannot pay less. (Or maybe they mean they can only afford 1 week and you will have to claim the 2nd week from SW ?)


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  • Closed Accounts Posts: 1,386 ✭✭✭another question


    The company you are employed by (so company A in your example) would have to prove inability to pay. In most cases this would mean closing the company and liquidating it.

    SW will pay 2 weeks per yr, plus 1 week

    eg. 5 yrs = 11wks, 6 yrs = 13wks etc etc

    This is a legal entitlement so company cannot pay less. (Or maybe they mean they can only afford 1 week and you will have to claim the 2nd week from SW ?)

    Ok thanks. They are just being extremely awkward. They can more than afford to pay are contracted redundancy entitlement of 4 weeks. The 1 week offer is a joke.


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