The Employment Rights Act 1996 and Pension Schemes Act (amendment) Regulations 2017 The Employment Rights Act 1996 and Pension Schemes Act 1993 (Amendment) Regulations 2017 (“the Regulations”) make amendments to sections 166 and 183 of the Employment Rights Act 1996 and section 123 of the Pension...
Are directors entitled to redundancy? There is a widely held view and common belief that company directors are not entitled to redundancy pay but in limited circumstances it may be possible. When a business fails and has to go into liquidation, directors, who have invested time, sweat...
As the director of a limited company, you probably have some understanding of redundancy payments and how they apply to your employees, but few company directors know that they may also be entitled to claim statutory redundancy payments. If your company is struggling financially, despite your...
Do directors get redundancy? The conditions for redundancy eligibility as a company director include: Your company goes into liquidation or administration You have a written, oral or implied contract of employment Your limited company being incorporated for at least two years You have been earning a...
Directors redundancy When a company goes into liquidation, it’s generally understood that employees are entitled to redundancy pay. But what about the company directors themselves? Ultimately it is their business that has failed, and their livelihood that has collapsed. Unbeknown to many directors, the government does provide...
When a business fails, and cannot afford to pay redundancy money, employees can claim redundancy money from the National Insurance Fund (NIF) by making a claim to the Redundancy Payments Service (RPS). The issue becomes contentious when director shareholders claim: sometimes the RPS will argue...