If you think that you may be made redundant or have already been dismissed for redundancy then you have the right to statutory (or contractual, if applicable) redundancy pay (s.135 Employment Rights Act 1996 (“ERA 1996”)).

Should your employer become insolvent or fail to pay all or part of your statutory redundancy pay then it is liable for then you can apply to the Secretary of State for the full or remaining sum to be paid out of National Insurance funds (s.166 ERA 1996). An important point to note is that the Secretary of State is only obliged to pay sums out of the National Insurance fund that your employer is liable for. If you fall outside of the relevant time limits for a claim for redundancy pay (3 months less 1 day for statutory redundancy pay claim) then the Secretary of State is not obliged to pay.

A claim from the National Insurance funds is made on Form RP1. Once completed, you should send the form to the office applicable to their geographic area (see the bottom of Form RP1). There are a number of conditions attached to the receipt of money from the National Insurance funds:

  1. Their employer is liable to pay them the employment payment; and
  2. That you can demonstrate that you have taken all reasonable steps (apart from an ET) to obtain employment but your employer has failed or refused to pay; and
  3. That your employer is insolvent; and
  4. That the whole or at least part of the payment has not yet been paid
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