Qualifying for a redundancy payment

Not all employees are entitled to the statutory redundancy payment, even where a redundancy situation exists. To be eligible for a redundancy payment under the Redundancy Acts, the employee must satisfy the following requirements:

  • Be aged over 16 years of age
  • Be in employment and paying Class A PRSI contributions, which are insurable for all social welfare benefits.
  • Have worked continuously for the employer for at least 2 years (104 weeks)
  • Have been working continuously for the employer for more than 2 years if working part-time
  • The same rules apply to apprentices. Apprentices qualify for redundancy unless let go within one month of completing an apprenticeship.

Employers must give a written period of notice for redundancy of at least two weeks, the minimum period, to both the employee and to the Department of Enterprise, Trade and Innovation. It is important to note that during this period an employee should be given reasonable time-off to look for other work.