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Determination of Redundancy Benefit

The amount that should be payable as Redundancy benefit is determined as follows:

Where the employee has been continuously employed by the employer for a period:

  • Not exceeding five years, the Redundancy payable shall be an amount equal to one week’s pay for each year that the employee was so employed, plus two weeks pay for each year in excess of three years
  • Exceeding five years, but not exceeding ten years, the Redundancy payable shall be an amount equal to nine weeks pay, plus two weeks pay for each year in excess of five years that the employee was so employed
  • Exceeding ten years, the Redundancy payable shall be an amount equal to nineteen weeks pay, plus three weeks pay for each year in excess of ten years that the employee was so employed
It is important to note that Redundancy Benefit payable to an employee shall not exceed an amount that is equal to 52 weeks pay for that employee.