Is it considered a "genuine redundancy " if the position has significantly changed due to hours and conditions. If I was to accept a redundancy and then re-employed in a similar role but significant changes in hours of work and conditions would my tax free payment remain tax free
Hi @bjr3968,
A genuine redundancy occurs when your employer makes a decision that your job no longer exists and terminates your employment. The key test is whether the position itself is no longer required to be performed by anyone, not whether the hours or conditions have changed.
If you accept a redundancy and are then re-employed in a similar role, even with significant changes to hours and conditions, this would likely be considered a non-genuine redundancy. A non-genuine redundancy occurs when you leave voluntarily or your dismissal doesn't meet the genuine redundancy criteria. In this situation, the payment would be taxed as part of your employment termination payment (ETP).
If you're considering accepting a redundancy with the intention of returning to work with the same employer in a modified role, you should discuss this with your employer first and consider seeking advice about whether your payment would qualify for genuine redundancy treatment.
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