Losing your job - entitlements

Information

If you are being let go from your job in Ireland you must be given a P45 and you may have certain entitlements including notice and pay for annual leave earned but not taken – see below.

P45

When you leave your job your employer must give you a P45. This is a statement of your pay and the tax and PRSI to date deducted by your employer. It is a very important document and you need it if:

• You are starting a new job – to give to your new employer in order to avoid paying emergency tax
• You are unemployed – to claim a tax refund, to claim social welfare benefits

If your employer does not give you a P45 you should ask for it – see ‘How to apply’ below. From 2009 you will also be given an Income Levy Certificate for your own records.

Notice

You may be entitled to notice if you are being let go from your job in Ireland. This means that you are given notice that your job will end, and a date in the near future when this will come into effect. The length of notice you are entitled to, will depend in the first place on your contract of employment. In addition, there is a minimum entitlement laid down by law. Your contract may give you a greater entitlement to notice than the statutory minimum, but it cannot give you less. The laws in Ireland that give employees a right to notice, are called the Minimum Notice and Terms of Employment Acts 1973 to 2001.

In order to be entitled to the statutory minimum, you must have been working for your employer for at least 13 weeks.

Minimum period of notice

The amount of notice you are entitled to by law will depend on how long you have been working for your employer.

While the notice entitlements under your contract of employment can exceed the minimim periods above, any provision for notice in your contract for less then the above is invalid. This essentially means that while your contract of employment can set down that you will receive a greater amount of notice than the law states above, if your contract states that you will get less than the law provides, then this part of your contract has no effect. The law however does not preclude your employer or you waiving your rights to the legally specified notice period. The law also does not preclude you accepting payment in lieu of notice, if you wish.

You may be required to work the notice period or you may accept payment in lieu of notice, if offered. Payment in lieu of notice means that you will not have to work for the period between receiving notice and the ending of your employment, but you will get the same amount of wages that you would have received, had you worked.

During your period of notice you should receive your normal pay. This also applies if you are paid in lieu of notice.

Waiving your right to notice

Employment legislation in Ireland sets down that if an employer and an employee agree, the employee can waive their right to notice. In addition, where the employer and employee agree, the employer can pay the employee in lieu of notice. This right is set down in Section 7 of the Minimum Notice and Terms of Employment Act 1973.

Dismissal without notice

Your employer may dismiss you without notice for serious misconduct, although you can contest whether your employer was justified in such action.

Pay for annual leave

Holiday pay: If your employment is ending, you are entitled to receive a payment for annual leave which you have earned but not taken. The payment should equal the amount that would have been paid had the annual leave been taken. The ending of employment is the only situation where it is legal to pay an employee instead of giving annual leave.

Public holiday: If your employment stops during the week ending on the day before a public holiday and you have worked for your employer for the previous 4 weeks, you should receive an additional day's pay for the public holiday. This also applies to part-time employees who have established a right to the public holiday by working at least 40 hours in the previous 5 weeks.

How to apply

Your employer is responsible for giving you your proper notice. If you have difficulty in securing your entitlement you should consult with your trade union (if any) or you may refer your case to the Employment Appeals Tribunal by completing Form T-1A.

Disputes about pay for annual leave not taken should be referred to a Rights Commissioner using the Rights Commissioner application form (pdf). If your claim is connected with another claim such as dismissal, notice or redundancy you should refer it to the Employment Appeals Tribunal.

If you are not given a P45 when you leave your job you should first ask your employer for it. If the employer does not supply it you should contact your local tax office. Revenue will contact the employer and obtain your P45 for you. If you have started a new job, Revenue will send you a new tax credit certificate so you will not have to pay emergency tax in your new job.

Where to apply