Employment ending
What your termination notice means, how claims are handled and the role of the Redundancy Payments Service.
Understand redundancy payments, employee claims and the next steps following company liquidation.
This practical guide explains what employees can expect when an employer enters liquidation, including how claims are submitted to the Redundancy Payments Service, what information is required and when applications can be made.
Written in plain English by Parker Walsh, the guide covers redundancy pay, unpaid wages, holiday pay, statutory notice pay, processing times, benefits and protective awards.
Losing your job because an employer has entered liquidation can feel sudden and confusing. This guide explains the claims process clearly, helping you understand what you may be entitled to and the steps you need to take.
What your termination notice means, how claims are handled and the role of the Redundancy Payments Service.
Redundancy pay, holiday pay, unpaid wages, overtime, bonuses, commission and statutory notice pay.
The two online applications, the CN and LN reference numbers, and when each claim can be submitted.
The employment, pay and bank details you will need, plus what to expect while your application is processed.
Applying for relevant benefits, mitigating a notice-pay claim and keeping supporting evidence.
When an employment tribunal claim may be relevant and where to find further official support.
When an employer enters liquidation, employees are often left with urgent questions about unpaid wages, redundancy, holiday entitlement and notice pay.
The Redundancy Payments Service can pay certain eligible employment-related claims from the National Insurance Fund, subject to statutory rules and limits. Different payments can require separate applications and may become available at different times.
This guide explains when you can apply, why you need a case reference number, what information to prepare and how long payments may take. It also explains what happens if the amount owed is greater than the RPS can pay.
You will also find guidance on applying for benefits, keeping evidence, making reasonable efforts to find alternative work and considering a protective award where consultation did not take place.
The guide is general in nature. For information about a specific liquidation or your individual claim, contact the insolvency practitioner dealing with the case or use the relevant GOV.UK service.
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The CN number is the case reference needed to make an online claim. It is provided once the company has formally entered liquidation. Contact the insolvency practitioner if you have not received it.
Depending on your eligibility, claims may include statutory redundancy pay, accrued holiday pay, unpaid wages and other money owed, plus statutory notice pay through a separate application.
You can apply for loss of notice pay after your notice period has expired and once you have received your LN reference number. Selecting notice pay in the main redundancy application does not complete the separate claim.
The RPS expects to make payments for redundancy, holiday and arrears of pay within six weeks of receiving a complete application and the necessary information from the insolvency practitioner.
You are expected to mitigate a claim for loss of notice by applying for relevant benefits and making reasonable efforts to find alternative employment. Keep evidence of applications and decisions.
If an employer did not consult employees before making redundancies, an employee may be entitled to compensation called a protective award. This normally requires a claim to an employment tribunal.
If Parker Walsh is dealing with your employer's liquidation, our team can help with questions about the case and the claims information supplied to the RPS.
For an individual claim decision, contact the Redundancy Payments Service or use the relevant GOV.UK service.