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Redundancy Payments

From: Department of Employment Affairs and Social Protection

Redundancy Payments

An employee may lose their job and become redundant because the business has closed down or there is insufficient work. In these circumstances the employee may be entitled to a redundancy payment from their employer.

To qualify for the redundancy payment the main conditions are:

  • two years of continuous employment with the same employer
  • employment is fully insurable under the Social Welfare Acts
  • employee must be over 16
  • the job no longer exists

The amount of the payment is:

  • two weeks’ pay for every year of service (over the age of 16) plus one additional week’s pay

Payment is subject to a limit of €600 per week.

What the Redundancy Payments Scheme is

It is the employer’s responsibility to make the redundancy payment to eligible employees. If the employer is unable to pay they may apply to the Department of Employment Affairs and Social Protection to make a payment on their behalf under the Redundancy Payments Scheme.

How to qualify

To qualify for the Redundancy Payments Scheme the following conditions must be met:

  • you must be aged sixteen years or over
  • the scheme covers employees who are insured for all benefits under social welfare legislation. Generally this means an employee who pays class “A” PRSI
  • you must have worked continuously for your employer for at least 2 years, and have paid at least 104 contributions
  • the employer must be able to prove that they cannot make the payment

Redundancy Calculator

The redundancy calculator can be used to calculate redundancy entitlements before making a claim.


To apply for a Redundancy Payment under the Redundancy Payment Scheme, the employer should complete the online application form. This form is called an RP50 and can be accessed here.

Once the RP50 has been submitted online, it can be printed down and then signed by both the employer and the employee.

The RP50 form can then be submitted to the department.

Redundancy Section

Redundancy Section, Gandon House, Amiens Street, Dublin, D01 A361

Some further information will be required:

  • financial information and proof that the employer is unable to pay. Usually this would be an up to date Statement of Affairs

Claims should be submitted to the department within 52 weeks of the date of termination of employment.

My Employer refuses to co-operate – What can I do?

If your employer refuses to pay your redundancy lump sum or if there is a dispute about redundancy you can bring a claim to the Workplace Relations Commission (WRC). You must use the online e-complaint form available on www.workplacerelations.ie.

This should usually be done within one year of the termination of employment however the WRC can extend the time limit to 2 years in exceptional cases.

The WRC will make a decision on the complaint. Following an award in favour of the employee if the employer refuses to make a payment the employee may apply directly to the department for payment under the Redundancy Payments Scheme. All redundancy claims submitted with a WRC decision are subject to the conditions of the scheme mentioned above.

To apply for redundancy on the basis of a WRC award:

  • complete the RP50 form online
  • send a copy of the signed form and the WRC decision to the Redundancy and Insolvency Section