How should my redundancy pay be worked out as a part-timer?

I was made redundant a nearly four years ago. When they paid my redundancy pay and PILON I asked for the breakdowns of their calculations, but they never replied. I only got the breakdown recently and they confirmed that the took my salary and divided it by 52.14 weeks (like a full timer) instead of 26.07 weeks, which were the weeks I was working and paid for. I made them aware that that was a mistake but they insist they made the right calculations. Am I right to believe I was underpaid and what can I do about it now?

Redundancy on red paper with brown paper over the top ripped to reveal the word

 

When it comes to redundancy pay, the correct legal position is that an employee’s weekly pay is taken as the average amount which they’ve earned per week over the 12 weeks before being given notice. A week’s pay is calculated based on the employee’s normal working hours, or average hours in a 12-week period if their hours vary. This figure should include any regular overtime, and bonuses or commission, if the contract makes provision for these.

The rules differ for term time contracts as opposed to part time contracts. You would be unable to challenge your former employer in the Employment Tribunal as you are now out of time to do so, but you may be able to bring a claim against them in the civil courts. Specialist advice would be required on this point to understand whether this is indeed possible and what your options may be.

*Charlotte Geesin is Legal Director of Howarths, a Yorkshire based, award-winning Employment Law, HR, Business Immigration and Health & Safety provider for SMEs across the UK. 



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