Calculation of Redundancy payment / Basic Award for Unfair Dismissal

1) A weeks pay is currently capped at £400 or the or the actual pay of the Employee whichever is less. 2) Employee service with their Employer they can claim a max of 20yrs service. 3) An Employee can claim for the following bands of service with their employer: -Half week s pay for service up to the age of 22 One week s pay for service from the age of 22 & up to the age of 41 1.5 week s pay for service from the age of 41

An employee s service may cross all three service bands with different bands of service being paid at different rates. Take the Employee s age and deduct their years of service to arrive at your starting point. It will then be clearer to you whether the employee s service crosses any different bands or is just within one band.