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How is my redundancy pay calculated?
Provided you have two years' continuous service with your employer, under the Employment Rights Act 1996, service from the age of 18 and up to the age of 65 counts for statutory redundancy pay. This is calculated as follows:
- half a week's pay for each year of employment while you were under 22;
- one week's pay for each year of employment between ages 22 and 40; and
- one and a half week's pay for each year of employment when you were aged 41 or above.
there is a statutory maximum limit to a week's pay. This is set annually and is currently £489 per week (as of April 2017). A week's pay is the amount payable for normal working under the contract of employment in force at the time of calculation.