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What Redundancy Can A Director Claim?

Providing a director has a contract of employment that is either written or implied and has worked over 16 hours per week he/she will be eligible to make a claim for redundancy.

A director should request to make a claim to the insolvency practitioner handling the company’s affairs if it has not already been suggested and the claim will be processed through the National Insurance Fund.

A director is entitled to claim for arrears of pay, wages, in lieu of notice, holiday pay and redundancy.

Wages in lieu of notice may be claimed for at 1 week per full year worked, up to a maximum of 12 weeks.

Redundancy claims are subject to a maximum of 20 weeks at 1 week per year, with an uplift to payment of 1½ weeks per year for those aged 41 years and older.

The current maximum weekly limits that are claimable from the National Insurance Fund are £508 per week and this is reviewed by the Fund on an annual basis.

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