Employment Law Liverpool: Redundancy

Redundancy is a terrible thing to happen, both for employers and for employees. Redundancy is generally described as the situation where an employee is dismissed because the business in which he, or she, has been working is being closed down, the workplace is being closed or the role in which the employee has been working is no longer required.

The Employment Rights Act of 1996 provides that employees with more than 2 years of continuous service have a right to payment if the reason for their dismissal was redundancy.

The value of the lump sum payable is dictated by the length of continuous service together with a number of other factors such as the relationship between employment and age and your weekly pay. From a statutory redundancy point of view the maximum number of years of continuous service that can be taken into account is 20.

If you have been made redundant, or are contemplating making somebody redundnant and you are unsure of your legal position and rights please get in touch with us today and we will provide you with expert legal advice.

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