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Redundancy calculation whilst on furlough

which figures to use for average weekly pay calculations whilst on furlough

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When calculating redundancy we are meant to use the average pay over the last 12 weeks. However what if the employee was only receiving 80% of pay due to being on furlough. Would you still use that 80% or take into consideration what 100% of their wage would have been had they not been furloughed?

Or would you use the last 12 weeks wages that they actually worked??

 

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Caroline
By accountantccole
03rd Jul 2020 13:25

https://www.cipd.co.uk/knowledge/fundamentals/emp-law/redundancy/coronav... final para - pre furlough salary .

Watch out for any holiday days - we have clients who haven't given the 2x notice for the amount of holiday they want ees to take whilst on their notice/furlough so they have had to make extra payments on top

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By Sally B
03rd Jul 2020 14:04

thank you for this information, much appreciated

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