Please find below a summary of the changes which become effective from 6th April 2015:

Redundancy Pay

The maximum amount of “a weeks pay” for the purpose of calculating a Statutory Redundancy Pay or for various awards including basic or additional awards for compensation in respect of unfair dismissal, will increase from £464 per week to £475 per week.

The maximum payment under the Statutory Redundancy Scheme will increase from £13,920 to £14,250 (£475 x 30 weeks).

Compensatory Award for Unfair Dismissal

The limit on the amount of compensatory award for unfair dismissal will increase from £76,574 to £78,335 (statutory cap).

The maximum compensatory award is the lower of the statutory cap or 52 weeks’ pay. This is 52 times one week’s actual gross pay for the employee at the time of dismissal, calculated in the usual way. The limit on a week’s pay does not apply.”