If you have been told your role is at risk of redundancy, offered a severance package, or asked to sign a settlement agreement, it is important to understand your rights before making a decision.

Redundancy can be stressful and uncertain. You may be worried about your income, whether the process is fair, whether your role is genuinely redundant, or whether the severance package offered is reasonable.

At Orpen Franks LLP, we advise employees on redundancy advice, severance packages, redundancy consultations, settlement agreements, WRC claims and employment rights in Ireland.

If you are looking for a redundancy solicitor in Ireland, we can review your situation, explain your options and help you protect your position.

If you are facing redundancy or have been offered a severance package, speak to Orpen Franks LLP before signing anything.

Quick Answer: What Should I Do If I Am Being Made Redundant?

If you are being made redundant, you should check whether your employer is following a fair process, whether your role is genuinely redundant, whether you were properly selected, and whether your redundancy payment or severance package is correct.

You should also be careful before signing any settlement agreement or severance document. Once signed, you may be giving up important rights.

At Orpen Franks LLP, we can review your redundancy documents, advise on your rights and help you understand whether the offer is fair.

What Is Redundancy?

Redundancy usually happens where an employer no longer needs an employee’s role to be done, or where the business need for that work has reduced.

A redundancy may arise because of:

  • Business closure
  • Workplace closure
  • Restructuring
  • Reduced work
  • Cost-cutting
  • Outsourcing
  • Changes in technology
  • Changes in business needs
  • Fewer employees being required for a role

A genuine redundancy can be lawful. However, your employer should still follow a fair process.

If redundancy is used as an excuse to remove an employee unfairly, or if the selection process is unfair, you may have legal options.

When Should I Speak to a Solicitor About Redundancy?

You should consider getting legal advice if:

  • Your role has been put at risk of redundancy.
  • You have been invited to a redundancy consultation.
  • You think the redundancy is not genuine.
  • You believe you were unfairly selected.
  • You were not offered alternatives.
  • You were given little or no consultation.
  • You are being asked to sign a settlement agreement.
  • You have been offered a severance package.
  • You are unsure whether your redundancy payment is correct.
  • You believe redundancy is linked to a grievance, pregnancy, disability, age, sickness absence or protected disclosure.
  • You want to negotiate better severance terms.

Early advice can help you avoid signing away rights or accepting less than you may be entitled to.

What Are My Redundancy Rights in Ireland?

Your redundancy rights depend on your circumstances, length of service, contract and the process followed by your employer.

Key issues may include:

  • Whether the redundancy is genuine
  • Whether you were properly consulted
  • Whether the selection process was fair
  • Whether alternatives were considered
  • Whether your statutory redundancy payment is correct
  • Whether you are entitled to notice or pay in lieu of notice
  • Whether you are entitled to holiday pay or other payments
  • Whether a severance package is reasonable
  • Whether you may have a WRC claim

At Orpen Franks LLP, we can review these issues and explain where you stand.

What Is a Fair Redundancy Process?

A fair redundancy process will usually involve consultation before a final decision is made.

Depending on the circumstances, your employer should normally:

  • Explain why redundancy is being considered
  • Tell you that your role is at risk
  • Consult with you before making a final decision
  • Consider your views and suggestions
  • Use fair selection criteria where more than one person is at risk
  • Consider suitable alternative roles
  • Give you proper notice
  • Confirm the outcome in writing
  • Allow an appeal where appropriate

If the decision appears to have been made before consultation, or if the process is rushed or unclear, the redundancy may be open to challenge.

What Is Redundancy Consultation?

Redundancy consultation is the process where your employer explains the proposed redundancy and gives you a chance to respond.

During consultation, you may be able to ask:

  • Why is my role at risk?
  • Is the redundancy genuine?
  • What selection criteria were used?
  • Why was I selected?
  • Are there alternative roles?
  • Can reduced hours, redeployment or other options be considered?
  • What payments am I entitled to?
  • Is there an enhanced severance package?
  • Can the terms be negotiated?

Consultation should be meaningful. It should not simply be a box-ticking exercise after the decision has already been made.

What Is a Severance Package?

A severance package is an offer made by an employer when employment is ending, often in a redundancy or settlement situation.

It may include:

  • Statutory redundancy payment
  • Additional ex-gratia payment
  • Notice pay
  • Pay in lieu of notice
  • Holiday pay
  • Bonus or commission payments
  • Pension or benefits arrangements
  • Reference wording
  • Confidentiality terms
  • Non-disparagement clauses
  • Restrictions after employment
  • Settlement agreement terms

A severance package may look attractive, but it is important to understand what you are being asked to give up in return.

Should I Sign a Settlement Agreement?

You should not sign a settlement agreement or severance agreement without understanding it fully.

A settlement agreement often means you are giving up the right to bring claims against your employer. This may include claims for unfair dismissal, discrimination, redundancy-related claims, payment disputes or other employment rights.

Before signing, you should check:

  • What claims you are waiving
  • Whether the payment is fair
  • Whether tax treatment is correct
  • Whether notice pay and holiday pay are included
  • Whether bonus or commission is dealt with
  • Whether restrictions are too wide
  • Whether the reference is agreed
  • Whether confidentiality clauses are reasonable
  • Whether legal fees are covered
  • Whether the offer can be negotiated

At Orpen Franks LLP, we can review the agreement, explain the terms and advise whether the package is reasonable.

Can I Negotiate a Better Severance Package?

Yes, in many cases severance packages can be negotiated.

Your ability to negotiate may depend on:

  • The strength of any potential claim
  • Whether the redundancy process is fair
  • Whether you were properly selected
  • Your length of service
  • Your seniority
  • Your contract terms
  • The employer’s risk
  • The reason for the redundancy
  • Whether there are discrimination or protected rights issues
  • The value of your notice, bonus, pension or benefits

We can advise on whether there may be room to negotiate and help you identify the strongest points.

What If My Redundancy Is Unfair?

A redundancy may be unfair if:

  • The role is not genuinely redundant
  • You were selected for unfair reasons
  • There was no meaningful consultation
  • Selection criteria were unclear or biased
  • Alternatives were not considered
  • The decision was predetermined
  • You were replaced shortly after dismissal
  • Redundancy was used to avoid dealing with a grievance
  • Redundancy was linked to pregnancy, maternity, disability, age or another protected ground
  • Redundancy was linked to whistleblowing or exercising workplace rights

If you believe your redundancy is unfair, you may be able to bring a claim to the Workplace Relations Commission, often called the WRC.

Statutory Redundancy Payment in Ireland

Employees who qualify for statutory redundancy are generally entitled to a statutory redundancy payment.

This is usually based on your length of service, age and weekly pay, subject to legal rules and limits.

You may also be entitled to:

  • Notice pay
  • Holiday pay
  • Outstanding wages
  • Contractual benefits
  • Bonus or commission, depending on your contract
  • Enhanced redundancy pay, if offered by your employer

If you are unsure whether your redundancy payment is correct, Orpen Franks LLP can review the figures and advise you.

Redundancy and Discrimination

Redundancy should not be used as a cover for discrimination.

You should get advice if you believe your redundancy is connected to:

  • Pregnancy or maternity leave
  • Disability or sickness absence
  • Age
  • Race or nationality
  • Gender
  • Family status
  • Civil status
  • Religion
  • Sexual orientation
  • Membership of the Traveller community
  • A previous complaint or grievance
  • A protected disclosure

If redundancy is connected to a protected ground or protected right, you may have claims in addition to redundancy or unfair dismissal issues.

What Happens During a Redundancy or Severance Case?

1. We listen to what happened

We will talk through the redundancy process, your concerns, your documents and your employer’s offer.

2. We review your documents

We can review your contract, redundancy letters, consultation papers, payment calculations and settlement agreement.

3. We explain your rights

We will explain whether the redundancy appears fair, whether your payments look correct and whether you may have room to negotiate.

4. We advise on the offer

We can advise whether the severance package is reasonable and what terms may need to be changed.

5. We help you respond or negotiate

We can help you respond to your employer, raise concerns, seek better terms or prepare a WRC claim if needed.

6. We can represent you

Where appropriate, we can represent you in WRC proceedings and advise you if the matter proceeds through the Courts.

How Orpen Franks LLP Can Help

At Orpen Franks LLP, we advise employees on redundancy, severance packages, settlement agreements, unfair dismissal, discrimination, WRC claims and employment disputes.

We can help with:

  • Reviewing redundancy consultation documents
  • Advising whether redundancy is genuine
  • Advising on fair selection and consultation
  • Checking statutory redundancy payments
  • Reviewing severance packages
  • Reviewing settlement agreements
  • Advising on notice, holiday pay, bonus and benefits
  • Advising on tax and payment structure, where relevant
  • Helping negotiate improved severance terms
  • Advising on unfair redundancy claims
  • Preparing and submitting WRC claims
  • Representing you at the WRC
  • Advising if the matter proceeds through the Courts

Our advice is clear, practical and focused on helping you protect your rights, your finances and your next step.

Talk to Orpen Franks About Redundancy or a Severance Package

If you are facing redundancy or have been offered a severance package, do not feel pressured to sign anything before getting advice.

At Orpen Franks LLP, we can review your documents, explain your rights and help you decide whether the offer is fair.

Contact Orpen Franks LLP today for clear, confidential advice about redundancy, severance packages, settlement agreements and your rights as an employee.

FAQs About Redundancy and Severance Packages

Get in Touch

Request a Call Back