Common use of Redundancy Policy Clause in Contracts

Redundancy Policy. In the event that Council finds it necessary, following consultation with the Union to reduce its workforce through retrenchment/redundancy of employees, the following conditions will apply. (i) Employees who commenced prior to 1st April 1977, a) a severance payment of four (4) weeks pay will be made PLUS b) a service related payment of three (3) weeks per completed year of service will be made PLUS c) A gratuity payment will be paid in accordance with Council’s Policy. (ii) Employees who commenced after 1st April 1977 a) a severance payment of four (4) weeks pay will be made PLUS b) a service payment of four (4) weeks pay per year of service will be made with a cap of 52 weeks payment. For those employees who were employed prior to 1st December 1997 and who are disadvantaged by the cap of 52 weeks payment, as they have a greater entitlement than 52 weeks based on years of service, will be provided with a service related payment of 3 weeks per year unlimited. c) Employees with greater than 13 years of service as at 1st December 1997 will have the option of requesting 3 weeks per year of service in the future if their entitlement to service payment is greater than 52 weeks using this multiplier. d) Employees with less than 13 years service as at 1st December 1997 shall have an entitlement to a service payment of 4 weeks per year of service with a cap of 52 weeks. (iii) All employees a) It is agreed that the Retrenchment Flow Chart process will be applied to all positions that are identified as being redundant. b) For all employees at the date of being redundant, a payment of $400.00 per completed year of service will be made. Employees with six months or greater service will be eligible for pro-rata entitlements based on completed months of service. i.

Appears in 2 contracts

Sources: Enterprise Agreement, Enterprise Agreement

Redundancy Policy. In the event that Council finds it necessary, following consultation with the Union to reduce its workforce through retrenchment/redundancy of employees, the following conditions will apply. (i) Employees who commenced prior to 1st April 1977, a) a severance payment of four (4) weeks pay will be made PLUS b) a service related payment of three (3) weeks per completed year of service will be made PLUS c) A gratuity payment will be paid in accordance with Council’s Policy. (ii) Employees who commenced after 1st April 1977 a) a severance payment of four (4) weeks pay will be made PLUS b) a service payment of four (4) weeks pay per year of service will be made with a cap of 52 weeks payment. For those employees who were employed prior to 1st December 1997 and who are disadvantaged by the cap of 52 weeks payment, as they have a greater entitlement than 52 weeks based on years of service, will be provided with a service related payment of 3 weeks per year unlimited. c) Employees with greater than 13 years of service as at 1st December 1997 will have the option of requesting 3 weeks per year of service in the future if their entitlement to service payment is greater than 52 weeks using this multiplier. d) Employees with less than 13 years service as at 1st December 1997 shall have an entitlement to a service payment of 4 weeks per year of service with a cap of 52 weeks. (iii) All employees a) It is agreed that the Retrenchment Flow Chart process will be applied to all positions of classifications under Clause 11 Rates of Pay of this Agreement that are identified as being redundant. b) For all employees whose employment is covered by this Agreement at the date of being redundant, a payment of $400.00 per completed year of service will be made. Employees with six months or greater service will be eligible for pro-rata entitlements based on completed months of service. i.ie. if an employee has eight months service, he/she will be entitled to 8/12 of $400-00. c) The year of service payment will be pro-rated on a monthly rest basis based on the employees’ commencement date. d) The calculation of service years will be made from the employees’ commencement date to the date on which the employee exits the organisation. e) An “outplacement service” to a value of $3,000-00 will be provided to those employees who are made redundant. This service can include i) Counselling

Appears in 1 contract

Sources: Enterprise Agreement