What is a genuine redundancy?

A redundancy is where the employee’s job is no longer needed. For the redundancy to be considered as ‘genuine’, it must be because the employer no longer requires the person’s job to be performed by anyone because of changes in the business. Depending on your terms of employment and the nature of the company, some businesses offer severance pay to those employees being made redundant.

The employee is to be given written notice of redundancy, in line with their period of continuous service. Employees over 45 years old who have been employed for at least two years are given an additional week of notice.

There are various eligibility requirements for an employee to be made redundant. For instance, the employee must have engaged in a period of continuous service with the employer for over 12 months. Additionally, they must be employed on a full-time or part-time status, NOT on a casual or temporary basis.

There may be other obligations and requirements that the employer and employee will be liable for. The team of Lawyers at Coutts Lawyers & Conveyancers will be able to assess your circumstances and advise you on appropriate action.

What is not considered as a genuine redundancy?

If an employer makes you redundant but still requires someone to perform your role, you may have a claim for non-genuine redundancy.  This usually occurs when the employer hires someone else for that job or if the employer fails to follow the consultation requirements in the applicable modern ward or enterprise agreement.

What am I entitled to when being made redundant?

Depending on the terms of employment, you may be entitled to a severance pay. This amount payable is determined based on the employee’s length of service. The ‘Redundancy pay period’ table found in the Fair Work Act 2009 can be used to determine this. Furthermore, the employee must be paid any leave entitlements that they have accrued during the course of their employment.

How can Coutts assist you?

Coutts is committed to advocating for individuals who have been made redundant.  We understand that complex nature of a redundancy issue and our team of professionals will endeavour to provide the support and expertise you need.

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