Dáil Éireann Debate, Tuesday - 16 November 2004
127 Mr. Ferris asked the Minister for Enterprise, Trade and Employment if he will introduce legislation to increase redundancy payments to three weeks of pay per year of service; and if he will make a statement on the matter. [28321/04]
View answerLegislation to increase statutory redundancy payments was enacted only last year by means of the Redundancy Payments Act 2003. This increased the level of redundancy payments from a half a week's pay per year of service under the age of 41 and one week's pay per year of service over the age of 41, plus one bonus week, to two week's pay per year of service, plus a bonus week. The increase resulted from the Sustaining Progress agreement between the social partners. In addition, under a statutory instrument signed by the Minister for Enterprise, Trade and Employment and the Minister for Finance on 4 November 2004, the ceiling on reckonable earnings used to calculate statutory redundancy payments will be increased from €507.90 per week to €600 per week as and from 1 January 2005. This represents an increase of approximately one fifth in the ceiling and follows the recommendations contained in the report of the redundancy review group published in 2002 and from the recent review of Sustaining Progress.
There are no plans to increase further the level of statutory redundancy payments in the foreseeable future.
