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How Voluntary Redundancy Is Developing Into A Lifestyle
Voluntary Redundancy or Compulsory Redundancy is regrettably more a way of life nowadays than it was even as lately as 25 years ago. When you joined a company you are expected to be there throughout your career, probably starting at the bottom and working your way up when you had learnt the trade.
These days the job market is a changing market whereby companies consolidate their positions by making redundancies just to employ staff again once the economy picks up. You may look at this in two ways, either a disaster or an opportunity. Several however, think of this as being a disaster and an insult on their character but this is not the case. It is a task that has been made redundant not you, but, being able to distance yourself could be tough. What's more is that it can be frustrating if you notice your work re-advertised nine months down the line as the firm is starting to grow again often because of its survival through redundancies.
Transparency is needed when selections are made for redundancy. In other words the selection procedure must be fair and without discrimination. Decisions will be made on your eligibility considering such things as your disciplinary record, your qualification, experience and ability to name a few.
If you are provided voluntary redundancy the redundancy package you might be offered can be an enhanced redundancy payment, and perhaps the extended use of a company car or health benefits. These initial redundancy deals are usually one of the most generous a company will make, as consequent rounds of redundancies means the offers are less generous.
You might discover that if your redundancy is mandatory that you will be asked to leave the premises straight away. It may seem that this is embarrassing but there have been instances when a few people have got upset and decided to cause many problems by implementing computer viruses, damaging machinery or stealing and thus by asking you to leave this is seen as a means of removing the possibility of this happening. You will discover that the redundancy payment will be fixed at this point.
One of several questions frequently raised is if redundancy pay is taxable. Your redundancy payment is not taxed up to Thirty thousand pounds. You will be eligible to redundancy payment if you have worked continuously for the company for at least two years irrespective of how many hours you work. Your wages and any bonus which you have accrued during this period are going to be taxable.
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