Understanding Redundancy and Sick Leave
Understanding Redundancy and Sick Leave
Redundancy occurs when your employer needs to reduce their workforce, often due to business changes or financial pressures. If your role is made redundant, you are entitled to a notice period – a set amount of time before your employment officially ends. The length of your notice period depends on your contract and how long you have worked for your employer.
But what happens if you become ill and are unable to work during this notice period? Being off sick during redundancy notice is a situation many employees face, and it can raise important questions about your rights and pay.
How Redundancy and Sick Leave Interact
Under UK law, your redundancy rights are protected even if you are off sick during your notice period. If you are signed off work by your doctor, you are still considered an employee until your notice period ends. This means your employer cannot treat you less favourably or withdraw your redundancy rights simply because you are unwell.
The rules about pay during this time can be complex. If you are off sick, you may be entitled to Statutory Sick Pay (SSP) or contractual sick pay, depending on your employment contract and the length of your illness. However, you must still receive your full notice pay if your contractual notice period is at least one week longer than the statutory minimum. If your contractual notice is the same as the statutory notice, you may only receive sick pay during your notice period. For detailed legal requirements, the Employment Rights Act 1996 sets out your entitlements and your employer’s obligations.
Your Rights and What to Expect
During redundancy, you have certain protections. Your employer must follow a fair process and give you the correct notice and redundancy pay where eligible. If you are off sick, you should be consulted about the redundancy process just as you would if you were at work. This includes being informed of your redundancy, the reasons behind it, and your right to appeal.
If you want to understand more about the general principles of redundancy – including your rights to notice, consultation, and redundancy pay – see Understanding Redundancy in UK Law: Your Rights Explained.
Practical Considerations
If you are worried about how sick leave affects your redundancy, it’s a good idea to check your employment contract and speak to your employer or HR department. You may also find it helpful to compare redundancy with other types of employment termination to understand your rights in different situations. For more on this, visit Notice and Termination.
Remember, you are not alone if you find yourself off sick during redundancy notice. UK law is designed to protect your rights and ensure you are treated fairly, both as an employee and as someone facing redundancy.
Your Rights When Off Sick During Redundancy Notice
Your Rights When Off Sick During Redundancy Notice
If you are off sick during your redundancy notice period, it’s important to understand that you still have legal rights and protections under UK employment law. Here’s what you need to know:
Right to Receive Redundancy Notice
Being off sick does not affect your right to receive a redundancy notice. Your employer must still provide you with the correct notice period as required by law or your employment contract, even if you are absent due to illness. You should receive written confirmation of your redundancy and the notice period, just as you would if you were at work.
Redundancy Pay While on Sick Leave
You remain entitled to redundancy pay if you meet the usual eligibility criteria, regardless of whether you are on sick leave during your notice period. This includes both statutory and, if applicable, contractual redundancy pay. For more details on who qualifies and how long the process takes, see our guide to Redundancy Pay Eligibility and Timeline.
Statutory Sick Pay (SSP) During Redundancy Notice
If you are off sick during your redundancy notice, you may be entitled to receive Statutory Sick Pay (SSP) instead of your normal pay. Your employer must continue to pay SSP if you meet the qualifying conditions, up to the end of your notice period or until your entitlement runs out. To check if you qualify for SSP and how to claim, visit the official Statutory Sick Pay (SSP): Overview – GOV.UK page. You can also read more about Eligibility for Statutory Sick Pay for further guidance.
If you receive contractual sick pay (which is more generous than SSP), your employer must pay you this instead, as set out in your contract.
Protection Against Unfair Dismissal
It’s unlawful for your employer to dismiss you solely because you are off sick during your redundancy notice. Redundancy must be for genuine business reasons, not because of your illness. If you feel you have been treated unfairly or suspect your redundancy is actually due to your sickness absence, you may have grounds to challenge the dismissal. For more on your rights in these situations, see our section on Notice and Termination, which covers redundancy and fair dismissal in detail.
Employer’s Obligations
Your employer has a duty to treat you fairly and consistently throughout the redundancy process, including if you are off sick. This means:
- Communicating clearly about your redundancy and notice period.
- Ensuring you receive all pay and benefits you are entitled to, including redundancy pay and sick pay.
- Allowing you to take part in any consultation process, even if you are absent (usually by phone, video call, or written communication).
Employers must follow fair procedures and ensure that sickness absence does not disadvantage you compared to other employees.
Understanding your rights helps ensure you are treated fairly during a difficult time. If you have further questions or believe your employer is not meeting their obligations, consider seeking advice from an employment law specialist or your local Citizens Advice Bureau.
How Being Off Sick Can Affect Your Redundancy
How Being Off Sick Can Affect Your Redundancy
If you are off sick during your redundancy notice period, it’s natural to have concerns about your rights and what you’re entitled to. Here’s what you need to know about how sick leave can affect your redundancy process in the UK.
Impact on Your Notice Period
Being off sick does not usually change the length of your redundancy notice period. Your notice period – whether statutory (the legal minimum) or contractual (what’s set out in your contract) – continues to run as normal, even if you are not at work due to illness. Your employer cannot extend your notice period simply because you are off sick.
You are still entitled to receive notice pay. If you are off sick, you will usually receive Statutory Sick Pay (SSP) or any contractual sick pay you are entitled to during your notice period. However, if your contractual notice period is at least one week more than the statutory minimum, your employer may pay you only what you would normally get while off sick (such as SSP), rather than your full pay.
For more on how notice periods interact with redundancy and dismissal, see Special Considerations: Redundancy and Fair Dismissal.
Effect on Redundancy Pay
Your entitlement to redundancy pay is not affected by being off sick. You can still receive statutory redundancy pay if you have worked for your employer for at least two years. Your redundancy pay is based on your usual weekly pay, age, and length of service – not on your sick pay rate. This means even if you are receiving SSP or a lower rate during sick leave, your redundancy pay should be calculated based on your normal weekly wage before you went on sick leave.
To work out exactly how much you might be entitled to, you can use the official Calculate your statutory redundancy pay – GOV.UK tool.
If You Are Still Off Sick When Your Contract Ends
If your employment ends while you are still off sick, you are still entitled to any redundancy pay and notice pay owed to you. Your employer should pay you as usual, even if you are not able to return to work. Make sure your employer provides you with written confirmation of your redundancy, including your final pay details.
Long-Term Sickness and Redundancy Procedures
If you have been off sick for a long time, your employer must still follow a fair redundancy process. This includes consulting with you, considering any adjustments you may need (such as holding meetings in writing or by phone), and not discriminating against you because of your illness. If you feel you have been selected for redundancy because of your sickness absence, this could be classed as unfair dismissal or discrimination, especially if your illness is considered a disability under the Equality Act 2010.
In summary, being off sick does not remove your redundancy rights. Your notice period, redundancy pay, and protections against unfair treatment all continue to apply. If you are unsure about your situation, consider seeking advice from a legal professional or your trade union.
What Your Employer Must Do If You Are Off Sick During Redundancy
If you are off sick during your redundancy notice period, your employer still has important legal duties to follow. Being on sick leave does not remove your rights or reduce your employer’s responsibilities. Here’s what you should expect:
Fair Redundancy Procedures Still Apply
Your employer must follow a fair redundancy process, even if you are absent due to illness. This means they should use objective criteria to select employees for redundancy and apply these criteria consistently. The process should not disadvantage you simply because you are off sick. If your employer fails to follow fair procedures, you may have grounds to challenge the redundancy as unfair. For more details on what a fair consultation should involve, see our guide to Key Redundancy Consultation Questions for Fair Treatment.
Consultation During Sick Leave
You have the right to be consulted about your redundancy, even if you are off work sick. Your employer should make reasonable efforts to involve you in the consultation process. This could mean arranging meetings at a time and place that works for you, or holding consultations by phone or video call if you are unable to attend in person. If you are too unwell to participate, your employer should try to reschedule or provide information in writing. Skipping consultation because of sickness is not acceptable and could make the redundancy unfair.
Offers of Suitable Alternative Employment
If there are other suitable jobs available, your employer must offer you these roles as part of the redundancy process – whether or not you are currently off sick. They should provide all relevant details so you can consider the offer properly. If you are unable to start the new role immediately due to illness, your employer should take this into account. You have the right to a four-week trial period in any suitable alternative role. If you want to know more about your options, see our page on Refusing Suitable Alternative Employment.
Protection from Discrimination
It is unlawful for your employer to select you for redundancy because of your illness or disability. The Equality Act 2010 protects you from discrimination related to health conditions. Your employer must ensure their decisions are based on fair and lawful criteria, not your sickness absence. If you feel you have been treated unfairly, you may wish to refer to the Acas Code of Practice on disciplinary and grievance procedures | Acas, which outlines best practice for handling workplace disputes and can support your case if you need to raise a grievance.
Notice, Pay, and Other Considerations
While you are off sick, your notice period and redundancy rights remain the same. You may be entitled to notice pay, redundancy pay, and statutory sick pay, depending on your circumstances. To understand how these issues interact, and for more on your rights at the end of your employment, see our section on Notice and Termination.
In summary, being off sick does not reduce your legal protections during redundancy. Your employer must treat you fairly, keep you informed, and avoid any form of discrimination. If you believe your rights have not been respected, consider seeking advice from ACAS or a legal professional.
What You Can Do to Protect Your Rights
If you are off sick during your redundancy notice period, it’s important to take proactive steps to protect your rights and ensure you receive everything you’re entitled to.
Keep Your Employer Informed
Always keep your employer updated about your illness and expected return date. You should follow your workplace’s sickness reporting procedure and provide any required fit notes or medical certificates. This helps ensure you receive the correct sick pay and avoids any misunderstandings about your absence during the notice period.
Understand Your Rights to Sick Pay and Redundancy Pay
While off sick, you are still entitled to your redundancy notice period and, in most cases, statutory redundancy pay if you meet the eligibility criteria. If you are ill during your notice, you may receive Statutory Sick Pay (SSP) or contractual sick pay, depending on your employment contract and how long you have been employed. The Employment Rights Act 1996 sets out these protections. Your redundancy pay should not be affected by being off sick, and your employer cannot lawfully reduce or withhold redundancy pay because of your illness.
Be Alert to Unfair or Discriminatory Redundancy
If you suspect your redundancy is not genuine or believe you are being selected for redundancy because of your illness or another protected characteristic, you may have grounds to challenge it. Signs of sham redundancy include unclear selection criteria or redundancies that seem targeted. If you feel your dismissal is unfair, you can learn more about your options under the section on Unfair Dismissal: Your Rights and How to Challenge Being Fired.
Know When to Challenge or Seek Legal Help
If you think your redundancy is unfair or discriminatory, act quickly. You usually have three months (less one day) from the date your employment ends to make a claim to an employment tribunal. Before making a claim, you must notify Acas (Advisory, Conciliation and Arbitration Service) to start the Early Conciliation process. Find out more about the process and your rights on GOV.UK’s guide to unfair and constructive dismissal.
If you want to contest your redundancy, gather evidence such as correspondence with your employer, your fit notes, and any documentation relating to the redundancy process. For practical steps on how to challenge a redundancy, see our guide on How to Win Your Redundancy Case.
Taking these steps will help ensure you are treated fairly and receive the payments and protections you are entitled to during your redundancy notice period.
Additional Support and Resources
If you’re facing redundancy while off sick, it’s normal to feel uncertain about your rights and where to turn for help. There are practical resources and support services available to guide you through this challenging time, whether you’re concerned about your mental health, your employment rights, or your financial situation.
Mental Health and Work Rights
Redundancy can be stressful, especially if you’re already dealing with illness. It’s important to remember that you have legal protections under the Equality Act 2010 if your sickness is related to a disability or mental health condition. Employers must not discriminate against you and are required to make reasonable adjustments if your health affects your ability to work or participate in redundancy consultations. To understand more about your rights and the support available, visit our guide on Mental Health and Work: Your Rights.
Claiming Benefits After Redundancy
If you lose your job while off sick, you may be entitled to claim certain benefits to support you while you recover and look for new work. Depending on your circumstances, this could include Statutory Sick Pay (SSP), Employment and Support Allowance (ESA), or Universal Credit. The rules can be complex, especially if your redundancy coincides with a period of sickness absence. For step-by-step advice on what you can claim and how to apply, see our resource on Claiming Benefits After Being Sacked.
Further Help and Advice
Navigating redundancy and sickness can raise questions about whether your redundancy is genuine, whether your employer has followed the correct process, and what to do if you feel you’ve been treated unfairly. For further guidance, including spotting the signs of unfair or sham redundancy and accessing practical support, explore the section on Additional Support and Practical Advice in our related guide.
Remember, you don’t have to manage this alone. ACAS, Citizens Advice, and trade unions can also offer confidential advice and support tailored to your situation. Seeking early guidance can help you protect your rights and plan your next steps with confidence.
