Redundancy and reasonable time off to look for a new job

Who can take time off?

Employees who have been given notice of dismissal by reason of redundancy and who have been continuously employed for at least two years (or who will have been at the date their redundancy notice expires or have been given statutory notice), are entitled to reasonable time off to look for new employment or make arrangements for training for future employment.

What is the procedure?

There is no formal procedure for requesting time off, however, the time off requested must be “reasonable” and the employee can only complain to an employment tribunal if the employer has “unreasonably” refused the request. Ideally, the employee should give the employer reasonable advance notice and sufficient information about how the employee intends to use that time to enable the employer to determine whether it is reasonable to agree to the request.

How much time?

The right is to take “reasonable” paid time off during working hours. There is no definition of what amounts to ‘reasonable’ time off, however the tribunal will balance the needs of the employer with the needs of the employee to search for work or arrange training and are likely to consider amongst other things, the effect of the absence on the business, the length of the employee’s notice period and current market conditions for securing alternative employment.

The right to be paid

The time off must be paid up to a maximum of 40% of a week’s pay at the employee’s appropriate hourly rate. For a full time employee, that would be the equivalent of 2 paid days off to look for work. There is no entitlement to pay for any additional time off in excess of this and an employee may need to take authorised unpaid leave or annual leave. Strictly speaking, an employer could refuse any further time off in the knowledge that an employee would have no financial remedy.

Purpose of time off

The time off is to look for new employment or make arrangements for training for future employment. A tribunal has held that it was unreasonable for an employer to make it a condition of taking time off that the employee had a firm lead to follow up. However, if an employer has well-founded suspicions that the request might not be genuine, it may be reasonable to refuse time off.

Claims and remedies

An employee can complain to a tribunal if the employer unreasonably refuses to allow the employee time off or else refuses to pay for it. A claim must be filed within 3 months of the date the unreasonable refusal was made.

For further information about early conciliation or advice in connection with a COT3 or Settlement Agreement, please contact Lianne Payne, Head of Employment Law on 024 7623 1000

Askews Legal LLP – Solicitors in Coventry.