How much redundancy pay will I get?
Please note that the following is not intended to replace independent legal advice on redundancy situations and you should always speak to one of our expert Redundancy Law Solicitors for advice tailored to your case.
The statutory redundancy payment takes into account 1) your gross weekly pay, 2) your age and 3) the length you’ve worked for your employer.
To calculate your redundancy pay, you use the following formula:
£pay x length of service x age multiplier
There is a cap on the pay used in the calculation of £464 per week (as of 2014/15). There is also a maximum of 20 years service which is taken into account.
The age multipliers are as follows:
0.5 week’s pay for each full year of service where age during year less than 22
1.0 week’s pay for each full year of service where age during year is 22 or above, but less than 41
1.5 weeks’ pay for each full year of service where age during year is 41+
Made Redundant Statutory Redundancy Pay Calculator
The following table makes it even easier to work out. Simply find your age on the left hand side and your length of service on across the top, to arrive at your unique multiplier. Simply multiple your weekly pay (up to a max of £464) by your unique multiplier to arrive at your redundancy pay figure.
A 35-year old is Made Redundant after working at a company for 5 years. His pay was £25,000 per year (£480 per week, but capped at £464).
He will therefore get£464 x 5 = £2,320 redundancy pay .
A 58-year old is made redundant after working at the same company for 18 years. His pay was £21,000 per year (£400 per week).