You’ve Been Made Redundant – Now What

Redundancy is a topic that most UK consumers just don’t want to talk about. Being pushed out of the job that you love is not easy to deal with. It’s even harder when you realize that you have a family that still needs you to take care of them. You have to be good to your family no matter what the economy brings, so you have to figure out the hardest challenge of all — what do you really do after you’ve been made redundant?

That’s what today’s guide is all about. We hope that the tips and suggestions listed here benefit you in a big way. Let’s get on with it now…

First and foremost, you need to realize that you have rights when it comes to redundancy. Even if your employer says that this isn’t the case, it really is. Redundancy is classified as a very specific dismissal, because it’s not your fault. The employer you have right now might feel that it’s time to shrink down how many people are there. With as fast as technology is changing the marketplace, this is becoming a situation that Britons know all too well.

You should be aware of two major forms of redundancy. The first one is when you have a small reduction. This is an individual consultation, and it involves less than 20 people. However, if you have more than 20 people, it’s a collective redundancy. That’s pretty easy to remember.

The mark of a good company is one that reaches out to you before the redundancy period begins. If they don’t, then you could file a claim later for unfair dismissal, but this will vary. Look to a good solicitor if you find yourself in this position. Collective redundancy is serious, as it needs to be worked out with trade union reps, or some employees picked from the workforce itself. Everything needs to be spelled out, including how to keep the number of people walking out the door as small as possible. If you’re going to be the one out the door, then it needs to be about how much money that you’re going to get. For individual consultations, there needs to be a 30 day window before any dismissals happen. This doesn’t give you a lot of time to get your finances in order but it can be better than nothing. If you happen to be fortunate enough to be part of a bigger group, then you definitely need to go with looking at the 90 window.

90 days is more than enough time to start getting your affairs in order. Even though you’ll have a redundancy paycheck calculated for you, that doesn’t mean that you’re going to just let your finances run wild. Cut away the emotion from the situation. Yes, it’s hurtful to lose a job, but it would hurt even more to just stand still. You’re going to want to get emotional about it and mope about the house. However, this is an attitude that will do more harm than good. You have to seize control of your life and not give in to helplessness. Even though this sounds like harsh advice, you will definitely thank us later.

Let’s mention a little bit more about redundancy pay. You need to look at the minimum that you’re entitled to. Do all employers ride the minimum, as it were? Not at all. You’ll find that many employers really do try to go above and beyond to compensate you. However, you’ll also find plenty of other employers will get away with the minimum.

The time that you worked for the company plays a heavy role into how much to expect from redundancy pay, as well as how much you’re making currently.

When it comes to hard numbers, you get fifty percent of a week’s pay for every single year that you worked while you were under 22 years old. However, that goes up to a full week for every single year worked while you were over 22, but still under 41 years old. If you stayed at the company and you’re over 41 years old, you’ll get a week and a half for every year that you worked over the age of 41.

That could lead to a lot of money heading your way. However, you’ll need to also think about whether or not the company in question will stay in place. If the company goes under and they cannot make all of your redundancy payments, then you will be able to get those payments from the National Insurance Fund.

This will keep you afloat, and there are other government schemes to help you while you’re trying to get yourself back on your feet. One benefit to look at would be the Jobseeker’s Allowance. It’s available as long as you’re out of work and looking for a job. It’s not a whole lot, but every little bit helps.

Focusing on the bigger picture definitely helps you keep things together. Why not look at your own financial blueprint right now? It might feel like the end of the world because your job is gone as you know it, but it’s time for a new perspective. Instead of worrying about how life will never be the same again, see it as a time to find something that you really want to do. Choose to focus on the good stuff rather than the bad and you’ll be well on your way. Good luck!