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What happens if you are made redundant?

Made Redundant

There can be many reasons why you can be made redundant. There may be a re-structure of the workplace or your job is no longer needed to be done by anyone. Sometimes, your employer has become bankrupt. If this happens, you may be entitled to redundancy pay under the Fair Work Act. However, you cannot make an unfair dismissal claim if you are made redundant.

Some employees are not entitled to redundancy pay.  This might be if you are a casual employee, or an apprentice.  If you work for a small business employer (who employs less than 15 people),  you also cannot claim redundancy pay.  Redundancy pay can accrue up to 1 January 2010 if you were covered by an award prior to then.

You should understand that an employer can try to reduce any redundancy payment if they have been able to find you acceptable replacement employment or if they are not able to pay you.

Of course, if you are a casual employee, you may be entitled to some other redress.  If you are employed on an hourly or daily basis, you may be given notice on that basis. However, if you are a casual employee who has employed on a regular basis with a reasonable expectation that you will continue to be employed, you might be able to seek reasonable notice and be covered by unfair dismissal laws.

See also: What if you are suspended from work?

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