Facing redundancy: What are your options?
For those facing redundancy things can feel bleak. As the issue of paying bills and getting by becomes hard to comprehend it’s important to take a step back and take a look at your options. If you are unsure what these could be, then read on…
Get everything in order
Before you finish work ensure you have everything in order in regards to future bill payments and accommodation – debts should also be cleared if possible, to ensure your monthly costs are dramatically lowered. Budgeting is something you will need to put in place so your money goes further and can be taken up any time, it simply requires you sitting down and taking a good look at your finances, what you’re spending money on and how you can reduce these costs. Here’s an article on how to budget effectively.
Ensure your redundancy has been handled correctly
When being made redundant some employers might try to cut corners, either to save money or save face, so it’s important you know your rights when it comes to the issue.
You have the right to a fair process, which means the selection process of who to make redundant needs to be carefully considered and people should not be discriminated against in terms of race, age or gender.
You are also entitled to a minimum notice period and according to law this should be at least one week if you have been employed between one month to two years, one week’s notice for each year if you have been employed between two to 12 years and 12 weeks notice for those employed for 12 years or more.
There is help available for those who find themselves unemployed. Job Seekers Allowance can help support you while you find a new role, you could also look into tax credits and speak to your local council about a reduction in council tax rates for being out of work. You can make benefits claims on the first day of unemployment and to ensure your financial situation doesn’t worsen it’s important you do so. However, it’s important to note that if you receive redundancy pay this might affect the amount you receive from the Government.
Check if you are owed redundancy pay
It’s imperative that your employer pays you the right amount of redundancy pay if you are owed it. If you have been at the same company for two or more years you will be entitled to redundancy pay of up to a maximum of £479. If your former employer is not offering this it’s important you challenge them, to ensure you receive the money you are owed. Click here to read The Money Advice Service’s in depth post on the matter.