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Employment Law for Business Students

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Employment Law for Business Students

Stephen Hardy & Robert Upex

Pub. date: 2006 | Online Pub. Date: May 31, 2012 | DOI:http://dx.doi.org/10.4135/9781446211373 | Print ISBN: 9781412900225 | Online ISBN: 9781446211373 | Publisher:SAGE Publications Ltd

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Chapter 9: Redundancy and Business Transfers

Redundancy and business transfers The statutory provisions relating to redundancy payments originated in the Redundancy Payments Act 1965. Employees are generally entitled to the right not to be unfairly dismissed, as has been seen, only if they have been continuously employed for one year (Employment Rights Act (ERA) 1996, s. 108(1)). In general, an employee dismissed for redundancy will be advised to complain of unfair dismissal or to make a dual claim. This is because a complaint under the unfair dismissal provisions enables the Employment Tribunal to decide whether the employer's decision to dismiss was reasonable in all the circumstances, whereas the redundancy payments provisions merely enable the tribunal to decide whether the statutory presumption of redundancy has or has not been rebutted. Further, the unfair dismissal provisions give an employee the possibility of receiving greater compensation, in the form of the basic award, which is calculated in the same ...

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