Redundancy Rights in Ireland: Full 2025 Guide

Being made redundant in Ireland comes with specific statutory entitlements around pay, notice, and process. Understanding these can help you check whether your employer is following the law correctly.

What qualifies as a genuine redundancy in Ireland?

A redundancy is only lawful if the job itself — not the person — is no longer needed, typically because the business is closing, reducing headcount, reorganising work, or the specific role is no longer required. If your employer replaces you shortly after with someone doing the same job, or the "redundancy" is used to remove a specific individual while the role continues, it may actually be an unfair dismissal disguised as redundancy — a claim that can be pursued through the Workplace Relations Commission.

Who is entitled to statutory redundancy pay?

You qualify for statutory redundancy payment if you:

• Have at least 2 years' continuous service (104 weeks) with the employer.
• Are in employment that is insurable for social insurance (PRSI) purposes under Class A (most standard employees).
• Have been made redundant through no fault of your own (i.e., it's a genuine redundancy, not dismissal for misconduct/performance).

How is statutory redundancy pay calculated?

The statutory formula is:

• 2 weeks' pay for every year of service, plus
• 1 additional week's pay (a bonus week added on top).

Weekly pay is capped at €600 for the purposes of this calculation, even if your actual weekly pay is higher — so the maximum statutory redundancy payment per year of service is effectively €1,200, plus the one extra week (also capped at €600). Example: an employee with 8 years' service earning €700/week (capped at €600 for calculation) would get 8 × 2 × €600 = €9,600, plus 1 × €600 = €10,200 total statutory redundancy. Many employers offer more generous "ex gratia" redundancy packages above the statutory minimum, especially in larger organisations — this is a matter of negotiation, not a separate legal entitlement.

Statutory redundancy payments are tax-free. As of 2025, the direct state rebate to employers that used to apply has been abolished, but the employee's entitlement itself remains unchanged and is paid by the employer.

What notice period am I entitled to?

Under the Minimum Notice and Terms of Employment Act, statutory minimum notice depends on length of service:

Length of service	Minimum notice
13 weeks to 2 years	1 week
2 to 5 years	2 weeks
5 to 10 years	4 weeks
10 to 15 years	6 weeks
15+ years	8 weeks

Your contract may specify a longer notice period than the statutory minimum — the more generous of the two applies.

What is collective redundancy and does it have extra rules?

If an employer is making a large number of employees redundant within a 30-day period (thresholds range from 5+ redundancies in a small employer of 21-49 staff, up to 30+ in larger employers), it's classed as a collective redundancy, triggering extra obligations: a minimum 30-day consultation period with employee representatives before notice takes effect, and notification to the Minister for Enterprise, Trade and Employment.

How do I claim if my employer won't pay statutory redundancy?

If your employer is insolvent or refuses to pay, you can apply to the Department of Social Protection's Redundancy Payments Scheme for payment directly from the Social Insurance Fund, and separately pursue the employer through the WRC for any shortfall.

Frequently Asked Questions