Redundancy situations
A redundancy situation generally arises where an employee's job no longer exists and they are not replaced.
This can occur when:
- An employer ceases to carry on business
- An employer's requirement for employees has ceased or diminished
- An employer has decided to carry on the business with fewer or no staff. In this case, close members of the employer's family are not taken into account
- An employer has decided the work is to be done in a different manner in future and the employee is not enough qualified or trained to do the work in the required manner
Under the Redundancy Payments Acts of 1967 - 2001 employers must, by law, pay compensation to employees dismissed for reasons of redundancy. The amount of the statutory payment is related to the employee's lenght of service, normal weekly or monthly earnings (including base salary, regular overtime, payment-in-kind) up to a weekly maximum of €600 per week.
Voluntary Redundancy
Voluntary redundancy situations arise when an employer requires fewer workers and asks for employees to volunteer for redundancy. The employees who volunteer for redundancy have to satisfy the general conditions attached to qualifying for a redundancy. There must also be a genuine redundancy situation.
Useful Websites
National Employment Rights Authority - NERA
The role of the National Employment Rights Authority (NERA) Information Services is to provide free, unbiased information on employment rights in Ireland to employees, employers and other interested parties. Employees in Ireland are entitled to receive certain basic employment rights. These rights are governed by a range of detailed employment legislation. NERA gives simplified details of those rights and what to do if you think you are not receiving them.
- NERA operates a lo-call information hotline - 1890 80 80 90, from 9.30am to 5.00pm weekdays.
- For further information visit: www.employmentrights.ie
