JobKeeper Redundancy Entitlements
With reduced hours and changes of duties being more common than ever as a result of JobKeeper, how does this imact on your redundancy entitlements if your business is going through a restructure?
Please see below for a full transcript of the video.
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Transcript
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So I will take this question. It’s from Miranda, thank you very much for this question, Miranda. If a person has not worked for 10 months, but has been on job keeper payments, does that period count towards the time calculating the notice period? And redundancy calculations? The answer to that Miranda is yes. The job keeper period is a period that maintains continuous employment, even if there is no work performed whatsoever. In fact, if there’s been no, well, in most circumstances, not only would that count for the purposes of redundancy and notice periods, it will also count for the purposes of accruals. So it will count for the purposes of accruing annual leave, and long service leave as if the employee was working on their normal hours and normal employment status as it was prior to job keeper. So that’s why, you know, we’ve been saying to some clients over the past year that it’s a bit of a chicken or egg scenario that yes, you can sustain people on job keeper for 10 months or 12 months, potentially, on these payments. But ultimately, if the if the end is inevitable, then you may be accruing all of these other leave entitlement costs. And you may also be potentially paying more redundancy with an extra year of service and with an extra year of an extra year of service for both redundancy pay and for notice. So to answer your question, Miranda, yes, it applies for notice redundancy pay, and entitlements. So all of those things. So I hope that answered your question.
We have put together this what we call a limited time restructure package for anyone who’s looking at undertaking a restructure. And that is, and that would offer the following services as part of the restructure package that we will provide you with the restructuring and redundancy plan. We provide you with advice on the payments and the related obligations. We give you the initial meeting plan the initial consultation letter, we would give you advice about the alternative jobs and selection criteria if it’s applicable, we give you advice on the further consultation discussions, the final meeting plan, the final meeting and the discussions and letters around those things. We can organize for you, outplacement and EAP. And we can give you a discount for the Fair Work Commission proceedings should you need us to represent you should any matters go before the commission for any for any clients with 1-3 redundancies or one three employees in that restructure costs $1500 plus GST It’s a limited time offer that we’re offering only for the purposes of this because we come to the end of job keeper. We don’t normally offer this as a one off service. We do have it included in all of our support packages for clients which are essential support performance and risk and HR managers for any clients are interested in ongoing support arrangements. They are included at free of charge as part of those support packages. So if anyone’s interested in those things, please get in touch with this at ondemandhr.com.au and we can talk you through either a limited time restructuring service are all assisting you on an ongoing basis with this being at no extra cost for you as part of a monthly support.