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How Voluntary Redundancy Is Getting A Lifestyle
Voluntary Redundancy or Compulsory Redundancy is regrettably more a way of life these days than it had been as recently as 25 years ago. When you joined a firm you are expected to be there throughout your career, possibly beginning at the bottom and working your way up when you had learnt the trade.
These days the job market is a changing market whereby companies consolidate their positions by making redundancies only to recruit staff again when the economy picks up. You can look at this in two ways, either a disaster or an opportunity. Several however, think of this as a disaster and also an insult on their character but this is not the case. It is the job which has been made redundant not you, but, being able to distance yourself can be difficult. What's more is that it can be frustrating if you notice your job re-advertised nine months later as the firm is beginning to develop again often as a result of its survival through redundancies.
Transparency is required when selections are made for redundancy. In other words the selection procedure has to be fair and without discrimination. Decisions will be taken on your eligibility considering such things as your disciplinary record, your qualification, knowledge and capability to name just a few.
If you are offered voluntary redundancy the redundancy package you may be offered can be an enhanced redundancy payment, and perhaps the extended use of a company car or health benefits. These initial redundancy offers are often one of the most generous a company will make, as consequent rounds of redundancies signifies the offers are less liberal.
You may find that if your redundancy is compulsory that you will be asked to leave the premises straight away. It may seem that this is humiliating but there have been times when a few people have got angry and chose to cause a lot of problems by implementing computer viruses, damaging machinery or stealing and so by asking you to leave this is seen as a means of removing the possibility of this happening. You will find that the redundancy payment will be fixed at this time.
One of several questions frequently raised is whether or not redundancy pay is taxed. Your redundancy payment will not be taxable up to Thirty thousand pounds. You will be eligible to redundancy payment if you have worked continuously for the company for at least two years regardless of the number of hours you work. Your wages and any bonus which you have accrued in those times will be taxable.
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