Notice of Termination and Redundancy Pay
Written in plain language for general understanding. This is educational content, not legal advice. Based on Commonwealth Acts of Parliament, federal regulations, and official government guidance.
What is this right?
When your employer ends your employment, the NES requires them to give you a minimum notice period based on how long you have worked there:
- 1 week — service of 1 year or less.
- 2 weeks — more than 1 year, up to 3 years.
- 3 weeks — more than 3 years, up to 5 years.
- 4 weeks — more than 5 years.
Employees over the age of 45 with at least 2 years of service get an extra week of notice.
Your employer can choose to pay you in lieu of notice instead of having you work the notice period.
If your job is made redundant (the position itself is no longer needed), you are entitled to redundancy pay. The amount depends on your years of service, starting at 4 weeks' pay for 1-2 years and going up to 16 weeks' pay for 9-10 years of service. After 10 years, the entitlement is 12 weeks. Small businesses (fewer than 15 employees) are exempt from redundancy pay.
When does it apply?
- You are a permanent employee (full-time or part-time) who has been dismissed.
- Notice requirements do not apply to casual employees, employees terminated for serious misconduct, or fixed-term contract workers whose contract has simply expired.
- Redundancy pay applies when your position is genuinely no longer needed — not when you are fired for performance or conduct.
What should you do?
- Check your notice period against the NES minimums and your award or agreement (which may give you more).
- If you are made redundant, calculate your entitlement using the Fair Work Ombudsman's online tools.
- Make sure your final pay includes all outstanding wages, accrued leave, notice pay, and redundancy pay.
- Contact the Fair Work Ombudsman on 13 13 94 if your employer hasn't paid what you're owed.
What should you NOT do?
- Don't accept being told to leave immediately without either working your notice period or being paid in lieu.
- Don't confuse being fired with being made redundant — redundancy means the job no longer exists, not that you did something wrong.
- Don't assume a small-business exemption applies without checking — count all employees including casuals at the time of dismissal.
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