The Government has extended the suspension of redundancy entitlements for those temporarily laid-off as a result of Covid-19 in an effort to ensure employees have a 'continued link to their job'.
The original suspension of redundancy provisions was first announced by the government as businesses remain in limbo awaiting to reopen during the easing of lockdown.
Countless businesses were forced to close their doors and temporarily lay off staff as a result of restrictions prompting the government to suspend redundancy provisions to try avoid permanent job losses.
But the Department of Social Protection has stressed the employee’s right to claim redundancy has not been removed, but rather deferred for the emergency period in circumstances of temporary lay-off or short-time employment.
The suspension was originally introduced on March 13 under new emergency measures as existing provisions were not considered adequate to deal with the current Covid-19 crisis.
It will now be extended until August 10.
Minister for Employment Affairs and Social Protection, Regina Doherty said: “As the Government has announced a roadmap for reopening society and businesses under which it is envisaged that most businesses should reopen by the 10 August 2020, it makes sense to extend our approach to redundancy entitlements during temporary layoffs to that date also.
"Given the ongoing emergency situation, serious risks to business and jobs remain.
She added that the suspension means employees temporarily laid off will have a "continued link to their job and a pathway to return."
She said: "For employers, many still regard their businesses as being temporarily closed and plan to re-open as soon as is possible for them to do so.
"If we did not extend the end date further, redundancies could occur in the very near future which will burden employers with further debt and have a serious impact on the potential for a business to recover.
"This in turn increases the risk of insolvency and bankruptcy situations which will only exacerbate the risk of further permanent job losses.”
