Redundancy generally occurs where you lose your job due to circumstances such as the closure of the business or a reduction in the number of staff. The reason could be the financial position of the firm, lack of work, reorganisation within the firm or it may be closing down completely.
Redundancy can occur where one of the following things happen:
When a number of employees are being made redundant within a 30-day period this is known as a collective redundancy.
Sometimes there is a voluntary redundancy situation. This is when an employer needs to reduce the workforce and asks for some employees to volunteer for redundancy.
In some cases when you have been in a lay off or short-time working situation for a certain length of time you may be entitled to claim redundancy.
The Redundancy Payments Acts 1967-2007 provide a minimum entitlement to a redundancy payment for employees with a set period of service with the employer. Not all employees are entitled to this statutory redundancy payment, even where a redundancy situation exists. You can find out more details about qualifying for redundancy here. However, you and your employer may agree a redundancy payment above this statutory minimum and in such circumstances, employees who have not reached the statutory minimum period of service may also receive a payment.
If you are being made redundant the legislation specifies what notice must be given to you and what application forms must be completed - find out more about redundancy procedures.
If you are entitled to a redundancy payment there are specific rules about how your continuity of service is assessed and how the payment is calculated - you can find out more about redundancy payments here.
There is also a list of frequently asked questions about redundancy.
For further information about the Redundancy Payments Scheme contact Workplace Relations Customer Services. Information about social welfare in relation to redundancy can be found on the Irish National Organisation of the Unemployed (INOU)'s website Redundancy.ie
If you have a question relating to this topic you can contact the Citizens Information Phone Service on 0761 07 4000 (Monday to Friday, 9am to 8pm) or you can visit your local Citizens Information Centre.