Common use of Redundancy / Severance Clause in Contracts

Redundancy / Severance. The provisions of this clause do not apply to casual employment or if the Company engages15 employees or less. An employee’s job is considered to be redundant if the employer has made a definite decision that the job is no longer required and will not be done by any person due to operational requirements such as economic, structural or technical changes. The employer will consult with employees likely to be effected by a redundancy situation and where possible will attempt to obtain re-employment opportunities for affected employees. An employee who has received notice of termination due to redundancy may terminate their employment during the period of notice and shall be entitled to the same severance payment had they remained until the expiry of such notice. However, such employee shall not be entitled to payment in lieu of notice. The Company shall provide employees with one week’s notice of redundancy or pay in lieu of such notice. In addition to the period of notice prescribed above, an employee whose employment is terminated by reason of redundancy shall be entitled to severance pay in accordance with the following table: 1 year or more but less than 2 years 2 years or more but less than 3 years 3 years or more but less than 4 years 4 years or more

Redundancy / Severance. The provisions of this clause do not apply to casual employment or if the Company company engages15 employees or less. An employee’s job is considered to be redundant if the employer has made a definite decision that the job is no longer required and will not be done by any person due to operational requirements such as economic, structural or technical technological changes. The employer company will consult with employees likely to be effected by a redundancy situation and where possible will attempt to obtain re-employment opportunities for affected employees. An employee who has received notice of termination due to redundancy may terminate their employment during the period of notice and shall be entitled to the same severance payment had they remained until the expiry of such notice. However, such employee shall not be entitled to payment in lieu of notice. The Company company shall provide employees with one week(1) day’s notice of redundancy or pay in lieu of such notice. In addition to the period of notice prescribed above, an employee whose employment is terminated by reason of redundancy shall be entitled to severance pay in accordance with the following table: 1 year or more but less than 2 years 2 years or more but less than 3 years 3 years or more but less than 4 years 4 years or moreA week’s pay is defined a s 40 hours pay at ordinary rates excluding any allowances.