MINIMUM NOTICE PAYMENTS*

MINIMUM NOTICE PAYMENTS*

This issue arose in the case of NHC Construction Limited and Shane Matthews MND 227.

The Labour Court in this case helpfully set out the applicable law and also dealt with the issue of continuity of service.

The Labour Court confirmed that if an employee is absent from their employment for more than 26 weeks between consecutive periods because of a lay-off, sickness or injury, or by agreement with the employer, then such periods shall count as a period of service.

In this particular case the issue related to the payment of Minimum Notice.  The weekly pay of the employee was €960 per week when the employee was made redundant.  There was an issue as to whether the entitlement under the Minimum Notice and Terms of Employment Acts 1973 to 2005, was subject to the restriction in the Redundancy Payment legislation.  The Labour Court has confirmed that the actual pay is the pay to be used for reckoning entitlements in relation to Minimum Notice, even where the €600 per week maximum applies in the case of a redundancy payment.

*Before acting or refraining from acting on anything in this guide, legal advice should be sought from a solicitor.

*In contentious cases a solicitor may not charge fees or expenses as a proportion or percentage of any award or settlement.

Richard Grogan

Author Richard Grogan

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