Department of Labour Relations

10. When is the employee entitled to redundancy payment from the Redundancy Fund?

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An employee is redundant when his/her employment has been terminated because:

  • a) the employer has ceased or intends to cease to carry on the business at which the employee was employed;
  • b) the employer has ceased or intends to cease to carry on business at the place in which the employee was employed;
  • c) modernisation, mechanisation or any other change in methods of production or of organisation which reduces the number of employees needed;
  • d) change in the products or in product methods or in the skills needed on the part of employees;
  • e) closing of departments;
  • f) marketing or credit difficulties
  • g) lack of orders or raw materials;
  • h) scarcity of means of production;
  • i) reduction of the volume of work or business.



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