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Frequently Asked Questions

FAQs

Director redundancy can be a complex issue so we’re here to break down the jargon and provide the advice you need. Our Frequently Asked Questions (FAQs) below are a good place to start but you can contact us for FREE specific advice.

Can you claim redundancy from your own limited company?

If your company is struggling financially and you’re worried about your own future, it’s reassuring to know that as a director you may be able to claim redundancy.

When is the best time to contact Redundancy Claim UK?

The best time for company directors to contact us is before liquidation so that the options and entitlements available to you can be maximised. We can assist directors post-liquidation but the process is slightly different – please call us to discuss.

What is redundancy payment?

A redundancy payment is a form of compensation offered when your job no longer exists.

Can a director claim redundancy?

Directors are able to claim redundancy and other statutory entitlements following their insolvent company entering a formal liquidation procedure. In order to qualify they must prove that they were employees of the company as well as directors. Directors will be asked by The Insolvency Service to complete an additional form to determine their employment status.

What are the key questions that a director needs to answer when considering claiming redundancy?

Does the director have a contract of employment? (It is a legal requirement for a director of a limited company to be in possession of a contract of employment).

What is Transfer of Undertakings Protection of Employment (TUPE)?

The Transfer of Undertakings (Protection of Employment) Regulations (TUPE) protects employees’ terms and conditions when a business is transferred from one owner to another.