How much statutory redundancy pay am I entitled to?

What the Law Says

The Employment Rights Act 1996 sets out the legal right to statutory redundancy pay for eligible employees who are made redundant.

You’re entitled to statutory redundancy pay if you’re an employee (not self-employed or a worker), have at least two years’ continuous service, and are dismissed for redundancy. The amount is calculated using a formula based on your age, length of service, and gross weekly pay — capped at £643 per week (as of 6 April 2024).

For each full year of service, you get: half a week’s pay for each year under 22; one week’s pay for each year aged 22–40; and one and a half weeks’ pay for each year aged 41 or over. A maximum of 20 years’ service is counted.

There’s also a cap on the total amount payable: £19,260 for redundancies on or after 6 April 2024.

Statutory Text

An employee who is dismissed by reason of redundancy is entitled to a redundancy payment in accordance with this section.

— Employment Rights Act 1996, s. 135 — Entitlement to redundancy payment

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