Exemptions From Redundancy Pay
If you are carrying out a redundancy proceess, the may be some circumstances where you are not obligated under the NES to make any redundanccy payments. Let’s unpack some of those scenarios.
Please see below for a full transcript of the video.
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Transcript
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Let’s move on to exemptions from redundancy pay. So the following are a list of circumstances where redundancy pay is not payable. So less than 12 months no redundancy pay is applicable employees that have been employed for a fixed term period of time, but generally that would be less than 12 months anyway. So those two things are often common, common denominators. Casual employees are not entitled to redundancy trainees that are engaged only for the length of a training agreement, some apprentices so that depends on the Modern Award. We’ve had situations where some apprentices are entitled to redundancy pay, some are not. So again, that depends on the Modern Award. And section 122 provides a general exemption for small businesses with less than 15 employees. But it depends on the Modern Award. So certain modern awards, like the textiles award, the timber industry award, require redundancy pay, even if you are a small business, where most modern awards however, would not.
So it’s important to note there’s about 122 modern awards. Some of those will have redundancy provisions, probably the majority of which will not though for small businesses, most most awards that we refer back to the NES, and if you’re referring back to the NES, then you’ll you’re dealing with sections 119 and 122, in respect to small businesses.
So we have put together this what we call 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 a 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 an 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 us at ondemandhr.com.au and we can talk you through either a limited time restructuring service or assisting you on an ongoing basis with this being at no extra cost for you as part of a monthly support.