What payments are employees entitled to if their position is made redundant?
- A genuine redundancy will occur when the employer no longer needs work that was performed by an employee to be performed by anyone.
- The answer here will depend on:
- the type of employment the employee held;
- the terms of employee’s contract;
- the modern award or enterprise agreement;
- the size of the employer; and
- how long the employee was employed with the employer.
- A full time employee within a business of more than 15 full-time staff members will be entitled to:
- annual leave;
- any accrued long service leave;
- a notice of termination; and
- severance payment if employed for more than one year.
- An employee of a business of less than 15 full time staff members is generally not entitled to severance pay on redundancy.
- If you have any concerns you can use our free and anonymous Ask a Lawyer service to get information specific to your situation.
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