Tanaiste announces the commencement of Redundancy Payments Act 2022
Under statutory redundancy rules, periods spent on lay-off within the final three years of an employee’s service do not count as reckonable service for the purposes of statutory redundancy payments. The Act ensures that employees who are made redundant, are eligible for a statutory redundancy payment and were placed on lay-off due to Covid-19 restrictions are not disadvantaged in the calculation of their redundancy entitlements.
The amount an eligible worker will receive will depend on the length of time they were placed on lay-off due to COVID-19 before the date they were made redundant. The calculation for the payment is based on existing statutory redundancy rules. The maximum to which any employee will be entitled is €2,268, if they earned €600 or more a week and were laid off due to Covid-19 restrictions for the full period from 13 March 2020 to 31 January 2022.