Limit On Week’s Pay Increasing to £380

From 1 October 2009, the limit on a week’s pay for the purposes of calculating a statutory redundancy payment will rise from £350 to £380.

This increase will also apply to a wide range of employment tribunal awards – calculated using a week’s pay.

As this change is taking place in October rather than  February 2010, there will be no change to the limit on a week’s pay next year.

Any non-contractual redudancy pay calculations where notice is given on or after 1 October will need to reflect the new rates.

Big Jump In College Manager Redundancy Levels

The number of AMiE members asking for help because they are at risk of redundancy has jumped significantly in the last few weeks.

Some 40% of all calls to the AMiE helpline from college managers since the beginning of June have been about redundancy problems compared to 30% for the academic year as a whole.

The rise is not in itself that unusual – many FE colleges reorganise their staffing structures at this time of year – but the big concern is that job losses will continue well into the autumn.

AMiE general secretary Peter Pendle said, “No one seems to think we will see a reduction in job losses any time soon. Uncertainties about funding together with the current economic climate are conspiring against us. When colleges reopen in the autumn we expect a further round of restructuring and more college mergers. The impact on our members jobs will be serious.”