Managing your risk of redundancy

It’s an unfortunate reality that, as the furlough scheme winds up, many more people are going to find themselves at risk of redundancy. Whilst the prospect of leaving a job involuntarily can be daunting, the best thing to do if facing this situation is to prepare yourself accordingly. Three immediate musts are:

1. Redundancy pay – Once you know that your position is at risk, you should check your contract to see whether there is any contractual enhanced redundancy pay provisions. If there are, ask for a copy of these. It’s important to note that if there has been a practise of paying more than the statutory minimum in the past you may be able to rely on this precedent. If there are no enhanced redundancy pay provisions, those with more than two years of service will have the right to statutory redundancy pay.
2. Notice and time off to look for work – Check your contract to confirm how much notice you are entitled to. Under statute, you will be entitled to at least one week’s notice per year of complete service (assuming you are over 22), up to a maximum of 12 weeks. This is the minimum entitlement, and you may be entitled to more. Those who are under notice of redundancy and who have more than two years of service also have the right to reasonable time off to look for work.
3. Your consultation period – You will have consultation meetings with your employers in which you agree on the terms of your redundancy. Your settlement and any time off you might need to look for a new role should be discussed here. You’re unlikely to know exactly when you’ll have job interviews at this stage, but you should make it clear that you expect reasonable accommodations to be made when needed, especially if your notice period is a long one. If your employer has also mentioned supporting you in further training or other provisions, this is also the point at which you should get these things agreed.