Redundancy pay limit to rise to £380 from £350 on 1 October 2009.
The Government has confirmed that the weekly limit used to calculate statutory redundancy pay will increase to £380 on 1 October 2009. At present it is £350 per week. It has also stated that the limit will not rise again in February 2010, as it would usually do, instead it will remain at £380 until February 2011.
The payment due to each employee under the statutory redundancy payment scheme is based on:
- the employee's age
- the employee's amount of continuous service, subject to the minimum of two years and a maximum of 20 years
- the employee's weekly gross pay - up to a limit of £380 (as of October)