Redundancy Severance Payments and Exclusions

The National Employment Standards sets out a scale of redundancy payments based on an eligible employee’s years of continuous service with the employer and the employee’s age.

However this pay scale does not apply if, immediately before the time of the termination due to redundancy, or at the time when the person was given notice of the termination:

  • the employer employs less than 15 full-time employees
  • the employee has less than 12 months continuous service with the employer
  • the person is a casual employee
  • the employee is terminated because of serious misconduct
  • the employee is employed for a specified task, or a specified period of time, or a specified season
  • a training arrangement applies to the employee and his/her employment is for a specified period of time, or limited to the period of the training arrangement
  • the employee is an apprentice
  • an industry-specific redundancy scheme in a modern award applies to the employee or is incorporated into an enterprise agreement which applies to the employee.

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