Statutory redundancy generally requires at least 104 weeks of continuous employment, fully insurable employment and a job that no longer exists. The basic formula is 2 weeks’ capped pay per reckonable year plus 1 bonus week, using no more than €600 per week.
Who may qualify
The Department of Social Protection lists core conditions: 104 weeks of continuous employment with the same employer, fully insurable employment under the Social Welfare Acts, the job no longer existing and the employee being over 16. Part-time employees can qualify.
Redundancy concerns the role disappearing, not simply replacing one person with another in the same job. Facts around reorganisation, reduced staffing and alternative work can be important.
The statutory calculation
Use the lower of normal gross weekly pay and €600. Multiply that capped weekly figure by two for every reckonable year of service, then add one additional capped week. The official calculator should be used for exact dates and non-reckonable absences.
Worked example
Bríd has seven reckonable years and gross weekly pay of €750. The calculation uses €600: (2 × 7 + 1) × €600 = €9,000 statutory redundancy.
An employer can offer an ex-gratia amount above the statutory lump sum. That extra amount should be identified separately.
Service and absences
Some absences count and others may be non-reckonable, especially within the final three years. The government scheme page lists treatment for maternity-related leave, parent’s leave, carer’s leave, sickness, lay-off and strike periods. Do not calculate a disputed long-service case from anniversary dates alone.
Notice is separate from redundancy pay
An eligible redundancy lump sum does not replace minimum notice, final wages or unused annual leave. The employer must also deal with the applicable notice period under legislation or the contract. These items should appear as separate parts of the termination package.
If the employer does not pay
The employer is responsible for paying statutory redundancy. If payment is refused or disputed, the government guidance directs the employee to contact the employer in writing and, if necessary, make a WRC complaint. Time limits apply, so do not leave an unresolved claim indefinitely.
Documents to collect
- Contract, start date and PRSI information.
- Written redundancy notice and termination date.
- Gross weekly pay evidence.
- Service history and details of long absences.
- Employer calculation showing statutory and ex-gratia amounts separately.
- Final payslip and annual leave balance.
Check the separate notice period
Redundancy pay does not replace statutory or contractual notice.
Calculate minimum noticeFrequently asked questions
How is statutory redundancy calculated in Ireland?
It is generally two weeks of capped gross pay per reckonable year of service plus one bonus week, with a €600 weekly ceiling.
How long must I work to qualify?
The ordinary service condition is at least 104 weeks of continuous employment with the same employer.
Does part-time work qualify?
Part-time employees can qualify if the statutory conditions are met.
Is redundancy pay the same as notice pay?
No. Redundancy, notice, final wages and unused annual leave are separate items.
What if my weekly pay is more than €600?
The statutory formula currently caps the weekly figure at €600, though an employer may offer an additional ex-gratia payment.
Who pays statutory redundancy?
The employer is responsible for paying eligible employees; special processes apply where the employer cannot pay.
Official sources
Rules and thresholds can change. Check the source that applies to your circumstances before making an important decision.
Important: This guide provides general information for workers in Ireland. It does not replace your contract, payroll records, official guidance or advice on a disputed or unusual case.