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A less severe form of involuntary termination is often referred to as a layoff (also redundancy or being made redundant in British English). A layoff is usually not strictly related to personal performance but instead due to economic cycles or the company's need to restructure itself, the firm itself going out of business, or a change in the function of the employer (for example, a certain ...
About a dozen employees have instructed law firm Aticus to pursue the legal challenge after being made redundant on Wednesday. Made.com staff taking legal action over ‘appalling’ Zoom redundancies
Research on downsizing in the US, [6] UK, [7] [8] [9] and Japan [10] [11] suggests that downsizing is being regarded by management as one of the preferred routes to help declining organizations, cutting unnecessary costs, and improve organizational performance. [12] Usually a layoff occurs as a cost-cutting measure. A study of 391 downsizing ...
Wilful misconduct by the employee: This is more than simply not doing a good job, but involves being deliberately and recklessly negligent or disobedient. The biggest factor in determining severance is re-employability. If someone is in a field or market where they will have great difficulty finding work, the court will provide more severance.
However, there is an upper limit set on what can be considered a week's pay, which is approximately the same as a week on the minimum wage (if you were made redundant on or before 31 January 2011, it was £380 per week – from 1 February 2011 to 31 January 2012, it was £400 – currently it is £508, before tax). [3]
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The Redundancy Payments Act 1965 (c. 62) was an act of the Parliament of the United Kingdom that introduced into UK labour law the principle that after a qualifying period of work, people would have a right to a severance payment in the event of their jobs becoming economically unnecessary to the employer.
In 2002, the Court of Appeal ruled in a case brought by staff employed at Albion's Farington site in Lancashire, Albion Automotive Ltd w. Walker and others, [1] that a contractual term entitling employees to an enhanced redundancy payment could be implied into the employees' contracts of employment based on the employer's custom and practice.
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