Redundancy is when your employers need to reduce their workforce. It is not about the person and happens when the role/job is no longer required. It can occur if an organisation changes what it does, restructures, does things in a different way, moves or even closes. As the role was made redundant, you may even be offered employment elsewhere within the organisation.
When an employee has been made redundant, they are entitled to certain rights such as, reasonable time off to look for a new job or to arrange training. They must not be unfairly selected for redundancy.
Redundancy must be seen to be fair as you cannot be made redundant because of age, gender, religion race, disability or pregnancy.
The notice period given for redundancy varies based on duration of service, varying from a notice of 1 week to 12.
When you are made redundant you are entitled to a redundancy payment. The minimum redundancy payment in law is called the statutory redundancy payment. To receive it you must be an employee working under a contract of employment and have at least two years continuous service. You also must not have been dismissed, laid off, or put on short time working and those who opted for an early retirement will not qualify.
Your employer may offer additional redundancy benefits in addition to the statutory ones. These may be more than the statutory benefits and never less. They are usually specified in your contact of employment.
Your employer has a legal obligation to ensure you seek independent legal advice from a solicitor regarding a settlement agreement or compromise agreement .This obligation often covers the cost of this advice. It is advisable to talk to a solicitor who can advise you if the selection process was unbiased and whether you are receiving what you are entitled.