Voluntary Redundancy & Social Welfare

S

Stuck

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Hi I have just been told that my role is to be made by redundant by mid summer, I have been offered a fantastic package but there is just one minor snag. If I don't apply for voluntary redundancy the company assume that I want to stay in the company so that means if any suitable position pops up elsewhere on my level I will be asked to fill it. The problem is that this is likely to be a very junior position in customer service or an area I have no interest in.

So I am thinking I may be better off applying for VR but then this also means I won't be eligible for social welfare for 9 weeks which would come to about 1800, this would pay my rent and food for a couple of months and would give me more time to look for work. On the other hand if I am offered a job and I refuse to take it could mean that I have to resign and will lose everything. I have asked HR to clarify what will happen if I refuse to take on another role but its looking likely that I will have to go for VR.

Any help with this would be appreciated.
 
Your position is being made redundant. You will be eligible for unemployment benefit from day one.
 
I would suggest you check it further with Citizens Advice Bureau. I have just been on to Irish National Organisation of the Unemployed (tel 01 856 0088) and they say that if the redundancy package is under Euro 50,000 then you can claim unemployment benefit immediately (if that is what you opt for). If the redundancy payment is over that amount there is a scale. (you will need to check that out). If you are offered alternative employment you should the terms and conditions in writing before agreeing to anything.

Hope the above is of some help to you.
 
olddoll said:
I would suggest you check it further with Citizens Advice Bureau. I have just been on to Irish National Organisation of the Unemployed (tel 01 856 0088) and they say that if the redundancy package is under Euro 50,000 then you can claim unemployment benefit immediately (if that is what you opt for). If the redundancy payment is over that amount there is a scale. (you will need to check that out). If you are offered alternative employment you should the terms and conditions in writing before agreeing to anything.

Hope the above is of some help to you.
Click to expand...

Thanks but from what I can make out this is if your redundancy is compulsory, they can refuse for up to 9 weeks if you take voluntary redundancy. But I think it depends on the personal situation. I guess I won't know until I actually apply for it.
 
One way of looking at it is the company is downsizing. Your role is being made redundant by mid summer. If you decide to stay on and take a position offered to you by the company, then somebody else will have to take the 'voluntary' redundancy option.

If your job is being made redundant and you are the post holder then come mid summer your job will no longer exist. The option is yours to take the redundancy or alternatively accept a position the company may or may not offer you. I find it hard to believe that you will be penalised by Social Welfare in that case.

Your HR department is saying you will lose 9 weeks unemployment benefit. I find this difficult to understand unless it has something to do with the amount of Redundancy payment on offer.
 
No I am certainly not getting anything over 55,000 but they said I will be leaving employment voluntarily so when I sign on the SW officer could refuse my application for up to 9 weeks.
 
I took VR and got over 55,000 redundancy and was deducted one weeks JSA becuase of the payment I got, so I would say you prob wont get deducted anything but ring citizens advice they might be able to help confirm this.
 
This from the keypost at top of this forum:

Will the amount of my redundancy payment affect my rate of benefit?

Not if you are entitled to Jobseeker's Benefit. However, if you are aged under 55, you may be disqualifed from receiving benefit, depending on the amount over 50k you receive in redundancy payment;
  • €50,000.00 - €55,000 1 Week
  • €55,000.01 - €60,000 2 Weeks
  • €60,000.01 - €65,000 3 Weeks
  • €65,000.01 - €70,000 4 Weeks
  • €70,000.01 - €75,000 5 Weeks
  • €75,000.01 - €80,000 6 Weeks
  • €80,000.01 - €85,000 7 Weeks
  • €85,000.01 - €90,000 8 Weeks
  • €90,000.01 and over 9 Weeks
If you take voluntary redundancy, you may be disqualified for leaving your job voluntarily even if the amount you get is below the figures above.
 
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