Q&As

How is statutory redundancy pay calculated for an employee who is employed on a seasonal basis, and whose working hours therefore vary during the year?

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Published on LexisPSL on 18/01/2021

The following Employment Q&A provides comprehensive and up to date legal information covering:

  • How is statutory redundancy pay calculated for an employee who is employed on a seasonal basis, and whose working hours therefore vary during the year?

For information on calculating a statutory redundancy payment, see Practice Note: Entitlement to statutory redundancy payment.

A statutory redundancy payment is calculated by:

  1. determining the employee's number of complete years of continuous employment ending with the 'relevant date', and

  2. allowing the appropriate number of weeks for each year. This is done by looking at (a) the whole period of employment if overall service is 20 years or less, or (b) the 20 years terminating with the 'relevant date' if the overall service is more than that. Within that period, working backwards from the 'relevant date':

    1. high band—count one and a half weeks for every complete year of service throughout which the employee was aged 41 or over

    2. middle band—count one week for every complete year of service (not including years

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