The Redundancy Payments Service ‘Financial Assistance Scheme’ can step in to make redundancy payments, where the company is unable to meet its obligations. This can apply even where the company doesn’t go into liquidation, but is closing using the dissolution or strike off process, and in certain circumstances where the company continues to trade.
If employment is being terminated — including a director’s employment in a majority of circumstances — and there are no funds in the company to make redundancy payments where due, the Financial Assistance Scheme may provide the necessary assistance.
The payments that will be made under this scheme are for redundancy only, so there are no further claims that can be made for loss of notice, arrears of pay, and holiday pay, unlike redundancy claims in liquidation. Where these payments are due, making a claim through the liquidation process would be the more appropriate route.
Our staff have operated within the insolvency sector for several years and have a deep understanding of its procedures and requirements.
Almost all the directors we come across have no idea that if their company is struggling and not viable moving forward, they may be entitled to claim redundancy payments from the Redundancy Payments Service if their company cannot settle these obligations. We can quickly assess whether you qualify and what you would be likely to receive.
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Looking to Liquidate Your Business? We Can Help With Your Redundancy Claims
If you have already decided that liquidation is the most appropriate route for your business, we will be happy to advise on whether you would likely to be able to make a successful claim to the Redundancy Payments Service for any outstanding employment entitlements, and what the value of any claim is likely to be.