Personnel Today
  • Home
    • All PT content
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Maternity & paternity
    • Shared parental leave
    • Redundancy
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • Brightmine
    • Learn more
    • Products
    • Free trial
    • Request a quote
  • Webinars
  • Advertise
  • OHW+

Personnel Today

Register
Log in
Personnel Today
  • Home
    • All PT content
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Maternity & paternity
    • Shared parental leave
    • Redundancy
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • Brightmine
    • Learn more
    • Products
    • Free trial
    • Request a quote
  • Webinars
  • Advertise
  • OHW+

Employment lawLatest NewsRedundancy

Redundancy shake-up call as TUC challenges government to update law

by Greg Pitcher 12 Nov 2008
by Greg Pitcher 12 Nov 2008

The TUC has called for major law changes in Alistair Darling’s forthcoming Pre-Budget Report to force employers to pay out more money when making workers redundant.

It wants workers to qualify for redundancy payments sooner, and for higher-paid workers to be entitled to higher payouts.

Under current legislation, workers have to be employed by an organisation for two years before they are entitled to redundancy payments.

Those who qualify are entitled to a week’s pay for every year they were at the employer and aged between 22 and 41. There are lower payments for younger workers, and higher payments for older workers. Only earnings up to £330 per week are taken into account.

The TUC wants workers to qualify after a year with an employer, and for £500 per week of earnings to be counted. It says more than half the working population earns more than the current limit, which has not risen in line with inflation.

Statutory redundancy pay is subject to income tax after the first £30,000, a limit that has remained the same for 20 years, and the TUC is also calling for the tax-free threshold to be raised to £50,000.

It also wants to see the government increase Jobseeker’s Allowance by £15 per week in next week’s Pre-Budget Report.

The benefit for a newly unemployed single person over the age of 25 is currently £60.50 a week. An increase of at least £15 would give real help to the newly unemployed, and provide a fiscal stimulus the economy desperately needs, the TUC has told the government.

Sign up to our weekly round-up of HR news and guidance

Receive the Personnel Today Direct e-newsletter every Wednesday

OptOut
This field is for validation purposes and should be left unchanged.

General secretary Brendan Barber said: “Putting more money into ordinary people’s pockets must be part of the response to the recession. Tax cuts have a role, but there is an even stronger case for boosting unemployment benefit. It is the quickest way to stimulate the economy and protects the newly unemployed from a catastrophic fall in their income.

“Jobseekers Allowance is less than £10 a day. Going from a typical wage down to this poverty income will be a terrible shock for people losing their job through no fault of their own.”




TUC
Greg Pitcher

previous post
One in four small and medium-sized firms cutting jobs
next post
UK’s WTD opt-out fightback on last legs as Brit MEPs outnumbered

You may also like

Number of Neet women rises but figures fall...

23 May 2025

Bank holidays: six things employers need to know

23 May 2025

Unions ponder strike action after public sector pay...

23 May 2025

Personnel Today Awards 2025: Three weeks left to...

23 May 2025

Sighing in frustration at colleague was discriminatory, judge...

23 May 2025

Flexible working for teachers initiative extended

23 May 2025

Fire and rehire: the relocation question

22 May 2025

Public sector workers gain pay rises of up...

22 May 2025

Six ways to kickstart conversations about team stress...

22 May 2025

UK net migration slashed by half in one...

22 May 2025

  • 2025 Employee Communications Report PROMOTED | HR and leadership...Read more
  • The Majority of Employees Have Their Eyes on Their Next Move PROMOTED | A staggering 65%...Read more
  • Prioritising performance management: Strategies for success (webinar) WEBINAR | In today’s fast-paced...Read more
  • Self-Leadership: The Key to Successful Organisations PROMOTED | Eletive is helping businesses...Read more
  • Retaining Female Talent: Four Ways to Reduce Workplace Drop Out PROMOTED | International Women’s Day...Read more

Personnel Today Jobs
 

Search Jobs

PERSONNEL TODAY

About us
Contact us
Browse all HR topics
Email newsletters
Content feeds
Cookies policy
Privacy policy
Terms and conditions

JOBS

Personnel Today Jobs
Post a job
Why advertise with us?

EVENTS & PRODUCTS

The Personnel Today Awards
The RAD Awards
Employee Benefits
Forum for Expatriate Management
OHW+
Whatmedia

ADVERTISING & PR

Advertising opportunities
Features list 2025

  • Facebook
  • Twitter
  • Instagram
  • Linkedin


© 2011 - 2025 DVV Media International Ltd

Personnel Today
  • Home
    • All PT content
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Maternity & paternity
    • Shared parental leave
    • Redundancy
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • Brightmine
    • Learn more
    • Products
    • Free trial
    • Request a quote
  • Webinars
  • Advertise
  • OHW+