Redundancy Calculator
At Ivy Jane HR Services, we understand that managing redundancies can be complex and sensitive. Our Statutory Redundancy Pay Calculator is designed to help employers quickly estimate redundancy pay entitlements for their employees in line with UK legislation. Simply input the required details to get an accurate estimate — saving you time, ensuring compliance, and supporting informed decision-making during restructuring processes.
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CALENDAR LOGIC:
This tool calculates an estimated statutory redundancy pay based on:
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Date of birth (DOB)
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Employment start and end dates
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Weekly pay (capped at £700)
Step-by-Step Calculations
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Input Validation
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All fields must be filled.
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Dates must follow the DD/MM/YYYY format.
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Weekly pay must be a valid number.
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Parsing Dates
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Converts strings to Date objects.
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Validates that each date is real (e.g., 30/02/2022 is rejected).
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Capping Weekly Pay
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Weekly pay is capped at £700, per UK statutory rules.
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Calculating Age at Redundancy
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age = endYear - birthYear
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Adjusts if the birthday hasn’t occurred yet in the redundancy year.
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Calculating Years of Service
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years = endYear - startYear
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Adjusts if the work anniversary hasn’t occurred yet in the redundancy year.
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Max service considered is 20 years.
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Calculating Redundancy Pay
For each year of eligible service:-
Under 22: 0.5 week’s pay
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22 to 40: 1 week’s pay
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41 and over: 1.5 week’s pay
These are added up year-by-year based on the employee’s age in each year of service.
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Example
An employee aged 45 at redundancy with 10 full years of service and a weekly wage of £800 (capped to £700) gets:
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Each year over age 41 → 1.5 × £700 = £1,050
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Total → 10 × £1,050 = £10,500
