Can anyone clarify the position for calculating redundancy payment for a part time worker? The calculators I've come across online, including the Business Link one, make no mention of part time workers - so it would be a straightfoward 'number of years' x 'weekly gross pay' calculation (the person in question is over the age of 22; their gross weekly wage, for 3 days a week, is £270; they have 7 complete years of service).
However, I've also read in an employee advice leaflet that for part time workers the amounts are pro-rated. The leaflet said that, for example, a person working 3 days a week would get 3/5 of the calculated sum. I can't find anything official to back that up and it sounds wrong, given that the weekly sum being used to make the calculation is already pro-rated.
Any advice would be very welcome. Thank you.
Redundancy calculation - part time worker
- 07-10-09, 01:26 PM #1soletrader
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Redundancy calculation - part time worker
- 07-10-09, 02:30 PM #2Peter Etherington
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Hi soletrader
You are quite right. You ignore the fact they are part-time and base redundancy pay on weekly pay, age and length of service, in the same way as you would for full-timers. Their weekly pay is pro-rated (ie it reflects the hours they work each week).
The maximum cap of £380 on a week's pay remains in place - again the fact they are part-time is irrelevant (but in your case it won't apply as they earn less than that anyway).
Hope that helps
Pete
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