# Redundancy - ex-gratia payment will be capped at €600



## delg (3 May 2018)

My company wish to make a number of people redundant both on factory floor and office staff.

They have asked for voluntary applications and if numbers are not achieved it will be compulsory.
The terms for redundancy are only to be agreed with the unionized factory floor, the office staff are not allowed to be part of these negotiations but however are told that it will apply to them too. One of the initial conditions is that any ex-gratia payment will be capped at €600, this mainly affects office staff.

Is this allowed or enforceable?


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## elcato (3 May 2018)

€600  a week ? Is it per year of service ? Ex-gratia are paid on top of voluntary at the goodwill of the company so it is legal. I'd imagine if a union is involved they will get the best available deal either way.

Note:Updated Title to reflect the question. Please be clearer in future


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## delg (3 May 2018)

"€600 a week ? Is it per year of service ? "
I'm guessing it is but at the minute the years of service have yet to be disclosed.

My point is that the office staff are not members of the union so can we be bound by the terms they agree with the company?
They are not negotiating for me...


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## elcato (4 May 2018)

delg said:


> The terms for redundancy are only to be agreed with the unionized factory floor, the office staff are not allowed to be part of these negotiations but however are told that it will apply to them too.


This suggests you will all get the same terms. Why not wait and see what's decided rather than worrying about something that may not happen.


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## newtothis (5 May 2018)

delg said:


> My point is that the office staff are not members of the union so can we be bound by the terms they agree with the company?
> They are not negotiating for me...



From what you've said, it sounds like you will be offered whatever is agreed between the union and company, even though you are not part of the negotiations. Are you concerned that you could do better if you negotiated independently? First point I'd make is that you almost certainly couldn't. One piece of advice: have you spoken to the union? Even if you are not a member, I'd be surprised if they wouldn't meet with you to discuss, given the circumstances.


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