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Statutory redundancy calculation
Your lump sum under the Redundancy Payments Acts, and a letter asking your employer for payment and a written statement
Employee: [YOUR NAME], [YOUR JOB]
Employer: [EMPLOYER NAME]
Calculation
Line Amount
Start date [START DATE]
Date of redundancy [DATE OF REDUNDANCY]
Non-reckonable days (last 3 years) [DAYS]
Reckonable service [DAYS] days = [YEARS] years
Weeks' pay due (years × 2 + 1) [WEEKS]
Gross weekly pay / counted (max €600) €[WEEKLY PAY] / €[COUNTED]
Statutory lump sum (tax-free) €[LUMP SUM]
Minimum notice: [WEEKS] weeks — 1 to 8 depending on service.
The rules in short
Rule What it says
Who qualifies 104 weeks' (2 years') continuous service over age 16, Class A PRSI (fully insurable), and the job no longer exists
How much 2 weeks' gross pay for every year of service + 1 bonus week; part-years count as days ÷ 365
Weekly pay ceiling €600 a week (€31,200 a year), even if you earn more
Weekly pay Gross normal weekly pay with average regular overtime and benefits-in-kind; monthly pay ÷ 4.33
Not counted In the last 3 years: lay-off, strike, illness over 26 weeks, work injury over 52 weeks
Tax Statutory redundancy is tax-free; notice pay and holiday pay are taxed as pay
Notice Redundancy notice at least 2 weeks before; minimum notice 1–8 weeks by service (1973 Act, s. 4)
Letter to your employer
[YOUR NAME]
[YOUR ADDRESS]
[DATE]
[EMPLOYER NAME]
[EMPLOYER ADDRESS]
Re: Statutory redundancy payment — [YOUR NAME], employed since [START DATE]
Dear [MANAGER'S NAME],
Thank you for your notice that my position is being made redundant with effect from [DATE OF REDUNDANCY]. I would be grateful if you would confirm in writing the amount of my statutory redundancy payment under the Redundancy Payments Acts and the date it will be paid, together with a written statement showing how it was worked out.
By my own calculation I have [YEARS] years of reckonable service and a gross weekly pay of €[WEEKLY PAY], which gives [WEEKS] weeks' pay and a statutory lump sum of €[LUMP SUM].
Please also confirm my notice period (or pay in lieu of notice), payment for any annual leave I have not taken, and any additional payment the company is making on top of the statutory amount. I would appreciate receiving my P45 and final payslip on time.
Thank you for your help.
Yours sincerely,
[YOUR NAME]
Employee: ________________________________ Date: ____/____/________
If you are not paid
Write to your employer asking for payment (this letter), and keep a copy.
If the lump sum is still not paid, apply to your employer on form RP77; if the employer can't pay or is insolvent, the Department of Social Protection can pay from the Social Insurance Fund.
If the employer refuses or disputes your right to redundancy, complain to the Workplace Relations Commission within one year of your dismissal.
Sources: Redundancy Payments Act 1967 (as amended); enterprise.gov.ie «Redundancy Payments»; gov.ie (DSP) «Redundancy Calculation Examples»; Citizens Information «How much redundancy pay will I get?»; Minimum Notice and Terms of Employment Act 1973, s. 4. An estimate, not legal advice.