06th March 2017
Cap On a Week's Pay for Statutory Redundancy Pay Increases from 6th April 2017
The limit most frequently used by employers is the cap on a week’s pay which is used for the calculation of statutory redundancy pay (and the basic award for unfair dismissal). This will increase from £479 to £489 (this figure is also used as the basic award for unfair dismissal).
Other changes include:
- An increase to the limit on compensation for unfair dismissal from £78,962 to £80,541
- Guarantee pay will increase from £26 to £27 per day
- The minimum basic award in cases where a dismissal is unfair by virtue of health and safety, employee representative, trade union, or occupational pension trustee reasons will increase from £5,853 to £5,970
Update by Deborah Scales