27.02.2017

Statutory redundancy pay to increase from 6 April 2017

Diamic Edge Ltd HR Consultant

Statutory redundancy pay to increase from 6 April…

The maximum amount of statutory redundancy pay and the limit on the amount employment tribunals can award for unfair dismissal increase from 6 April 2017.

Employers that dismiss employees for redundancy must pay those with two years’ service an amount based on the employee’s weekly pay, length of service and age.

The weekly pay is subject to a maximum amount. From 6 April 2017, this is £489, increasing from £479. This means that the top award of statutory redundancy pay also increases to £14,670 from £14,370.

The maximum statutory redundancy payment increases every year in line with the retail prices index.
Qian Mou, employment law editor at XpertHR says: “Although the statutory redundancy pay rate increases each year, it is good practice for employers to double check that the increase has been taken into account for anticipated redundancies.

“Where an employer’s enhanced redundancy policy applies an uplift to the statutory redundancy rate, the increased statutory rates should be incorporated into the policy and reflected in the payment.”

The maximum compensatory award for unfair dismissal is also increasing to £80,541 from the current £78,962.
The rise in the unfair dismissal award applies where the effective date of termination is on or after 6 April 2017.
These increases are among a number of adjustments to awards that employment tribunals can make and payments that employers must make.

The new rates are set out in the Employment Rights (Increase of Limits) Order 2017, which comes into force on 6 April 2017.
  • HR
  • HR Projects
  • HR Consultancy
Diamic Edge Ltd HR Consultant

Based on the Cheshire/Staffordshire border but working throughout the North West and Midlands as well as reaching as far as Birmingham and London, Diamic Edge Ltd - HR & Business Consultancy provides…

Employment & HR

Identify and Measure Your Candidates'​ Soft Skills : Our...

What are ‘soft skills’ and why do they matter, you may ask. Let me ask you a different question; how is it possible for…
Employment & HR

“What technology is essential to be adopted by the HR to...

This is an attempt to put together IT solutions, which have been developed to holistically serve the HR…
Marketing & PR

SEO Explained and Why Your Business Needs It!

Are you passionate about making your business a success online? Are you looking to gain more enquiries/sales? Then…

More Articles

Retail & Services

A time for rebooting US

A quick post at the end of the week to say "well done" to each and every one of us.  I guess that whether you feel…
Financial Services

The Price of Government Support During COVID 19

Most people would applaud the UK Government's willingness to step in and assist the business community with the various…
Retail & Services

Looking after our pennies and our planet

Most people in the world would love to have more money in their lives.  There are a growing number of people who are…

Would you like to promote an article ?

Post articles and opinions on Manchester Professionals to attract new clients and referrals. Feature in newsletters.
Join for free today and upload your articles for new contacts to read and enquire further.

Find the right professionals in Manchester

View The Full Index

Search By:

Submit your Enquiry here

Enquiry Details

Contact Details