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Do you get redundancy pay if you are on a zero hour contract?

Do you get redundancy pay if you are on a zero hour contract?

If you’re on a zero hours contract you’ll be categorised as a ‘worker’ or an ’employee. As with fixed term employees, you may be eligible for redundancy pay and other statutory entitlements on a zero hours contract if you’ve worked continuously for your employer for two years or more.

How is redundancy calculated for zero-hours contracts?

Zero hour contract redundancy rights mean that weekly pay is calculated by finding the average of pay earned in the 12 weeks prior to the redundancy notice. It’s also likely that length of service will be taken as the start date of work, even though there may be gaps where no work was done.

Can you make zero hours redundant?

Those who have worked the shortest will be made redundant first. Even if you have been working for your employer on a zero hours contract for more than two years, periods of non-work may count as breaks in continuous employment.

Is redundancy pay based on contracted hours?

Statutory redundancy pay is calculated using a formula that includes the employee’s gross weekly pay, subject to a maximum. A week’s pay is calculated based on the employee’s “normal working hours” in a week or the average working hours in a 12-week period if their hours vary.

What are my rights on a zero hour contract?

Under zero-hours contracts, you have the same rights as other employees to: rest breaks at work. rest between working days or shifts. weekly rest periods.

Is redundancy based on final salary?

Redundancy pay is based on your earnings before tax (called gross pay). For each full year you’ve worked for your employer, you get: up to age 22 – half a week’s pay.

Is redundancy paid on final salary?

When you must make the payment You should pay redundancy no later than an employee’s final pay day. You can pay later than this if you both agree another date in writing. You should tell employees when and how you’ll make the payment. For example, if it’ll be included in their monthly pay or as a separate payment.

Do you legally have to give notice on a zero hour contract?

Zero hours contract workers have no statutory rights to notice periods. This means you can terminate a worker’s zero hours contract without notice—and they can leave without any warning. Workers can’t request flexible working, get protection against an unfair dismissal or work a minimum notice period.

Do you get redundancy on a zero hour contract?

Redundancy for zero hours contract only applies to zero hour employees. The zero hours contract redundancy entitlement includes the right not to be unfairly dismissed by way of redundancy, and redundancy pay.

How is statutory redundancy pay calculated for employees?

You are entitled to statutory redundancy pay if you are an employee and have been employed for at least two years. Statutory redundancy pay is calculated as follows: half a week’s pay for each full year you were under 22;

How is pay calculated on a zero hour contract?

Zero hour contract redundancy rights mean that weekly pay is calculated by finding the average of pay earned in the 12 weeks prior to the redundancy notice. It’s also likely that length of service will be taken as the start date of work, even though there may be gaps where no work was done. Employment law on zero hour contracts

What happens if I take a drop in redundancy pay?

Contact your nearest Citizens Advice for help working out what should be included in your redundancy pay. If you’ve agreed to take a drop in pay because the business you work for is struggling, your redundancy pay could be affected. It depends whether you agreed to change your contract or not.