Your redundancy entitlements

Being told that you no longer have a job is a very stressful event. Although every situation is different, it is never easy. Perhaps your situation was like mine, the writing was on the wall and I suspected it in advance, however it was still a challenge dealing with it when it happened. For others the notification of their retrenchment is a total shock.

The first few days you will probably be running on adrenalin. That's a good thing because you have a bit to do in that time to make sure you receive your full entitlements. This is the time when facts are important. Immediately seek information from the authorities on what your entitlements should be. Don't just blindly accept what your employer hands you in that envelope.

The award, agreement, contract you have been employed under should cover what redundancy entitlements are offered. If you are not already aware of your conditions of employment, your first port of call is the Australian Government's Workplace Authority website or you can phone their Workplace Info Line on 1300 363 264.

Redundancy payouts vary depending on how long you have worked for the company, how old you are, and so on. Again, the conditions of your award/contract will state these details.

To help you financially survive while finding a new job, the Australian Government doesn't tax a certain amount of your redundancy payment. For the 2008-09 financial year the tax-free amount is $7,350 plus $3,676 for each completed year of service. Make sure the pay officer explains your final payout in detail.

I would highly recommend that you check with the Australian Tax Office or your accountant to make sure your final payout was taxed correctly.
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Your legal rights

So, you've received your payout advice and you think it is wrong. What now?

Again, this is where the facts are important. What my employer offered me, was not what the award stated. I contacted the Workplace Authority who confirmed that my belief was correct. As they recommended, I discussed this with my employer. He refused to acknowledge the authority of the Authority. So I then took my case to the Workplace Ombudsman.

They accepted I had a case and fully investigated it, seeking further detailed information from myself and my employer. Unfortunately in my case, there was a loophole, and of course my employer used it. The ombudsman rep said I could take the matter further in a court of law, but that I would end up worse off if I won, and even worse off if I didn't win. So I was one of the unlucky ones. However, the regional Workplace Ombudsman office were very supportive, helpful and respectful while they handled my case. I would highly recommend you seek their help if it is warranted.

Perhaps, your payout is as it should be, but you believe you've been unfairly dismissed. This could be the case if the business had more than 100 employees and:

you were told your position was made redundant, but that was not true and someone else was employed to do your work, or remaining staff members were allocated your tasks.

you were made redundant, but there was an unfair selection process and/or no consultation.

you were not paid a fair redundancy payment.

UNFAIR DISMISSAL CLAIMs MUST BE LODGED NO LATER THAN 21 DAYS AFTER YOUR LAST DAY OF WORK.

Who can you go to for help?
If you are a member of a trade union, contact your union. If you are not a member of a union, contact a community legal centre or the Legal Aid Commission for free advice.