# Notice and redundancy pay on genuine redundancy (FY2025-26, Cth)

## Note on approach

This is a benchmarking hypothetical, not legal advice. I read the controlling instrument straight from the facts given: a national-system employee under the *Fair Work Act 2009* (Cth), so the National Employment Standards (NES) apply. The two relevant scales are the minimum notice scale in **s 117** (specifically the table in **s 117(3)(a)**) and the redundancy pay scale in **s 119(2)**. I located the employee on each scale using the single controlling fact for each: length of continuous service (6 years), with the under-45 fact mattering only for the notice scale (it adds one extra week for employees 45+, which does not apply here). I then confirmed that paying out the notice period does not change the *quantum* of notice owed.

## Controlling law

- **Act:** *Fair Work Act 2009* (Cth) - the National Employment Standards.
- **Notice of termination:** s 117 (scale in s 117(3)).
- **Redundancy pay:** s 119 (scale in s 119(2)).

## The facts that drive the figures

- National-system employer, **not a small business employer** (so redundancy pay is payable; small business employers are exempt under s 121(1)(b)).
- Full-time employee, **6 years of continuous service**.
- **Under 45 years of age.**
- Position **genuinely made redundant**.
- Employer **pays out the notice period** instead of having it worked.

## (a) Minimum period of notice - s 117

The s 117(3) notice scale runs on length of continuous service:

| Continuous service | Notice |
|---|---|
| Not more than 1 year | 1 week |
| More than 1 year to 3 years | 2 weeks |
| More than 3 years to 5 years | 3 weeks |
| More than 5 years | 4 weeks |

At 6 years of service the employee falls in the "more than 5 years" band, giving a base of **4 weeks**.

The scale adds **one extra week** if the employee is over 45 and has at least 2 years of continuous service. Here the employee is **under 45**, so the extra week does **not** apply.

**Minimum notice owed: 4 weeks.**

Paying out the notice rather than having it worked is expressly permitted (s 117(2) allows payment in lieu of all or part of the notice period). It does not reduce the period - the employer must pay an amount at least equal to what the employee would have received had they worked those **4 weeks**.

## (b) Redundancy pay - s 119

The s 119(2) redundancy pay scale also runs on length of continuous service:

| Continuous service | Redundancy pay |
|---|---|
| At least 1 year but less than 2 years | 4 weeks |
| At least 2 years but less than 3 years | 6 weeks |
| At least 3 years but less than 4 years | 7 weeks |
| At least 4 years but less than 5 years | 8 weeks |
| At least 5 years but less than 6 years | 10 weeks |
| At least 6 years but less than 7 years | 11 weeks |
| At least 7 years but less than 8 years | 13 weeks |
| At least 8 years but less than 9 years | 14 weeks |
| At least 9 years but less than 10 years | 16 weeks |
| At least 10 years | 12 weeks* |

\*The drop at 10 years is the long-standing feature of the scale (it reflects the historical interaction with long service leave).

At **6 years** of continuous service the employee sits in the "at least 6 years but less than 7 years" band, giving **11 weeks** of base pay.

**Redundancy pay owed: 11 weeks of base pay.**

## Answer

- **(a) Minimum notice of termination: 4 weeks** (*Fair Work Act 2009* (Cth) s 117 - "more than 5 years" band, no over-45 loading because the employee is under 45). Paid out in lieu, but the period and amount are unchanged.
- **(b) Redundancy pay: 11 weeks of base pay** (*Fair Work Act 2009* (Cth) s 119 - "at least 6 years but less than 7 years" band).

Both figures arise under the National Employment Standards in the *Fair Work Act 2009* (Cth): notice under **s 117** and redundancy pay under **s 119**.