Redundancy

• Introduction
• Taxation of redundancy payments
• Other termination payments
• Rate of payment
• Return of University property

Introduction

1. Where an employee's employment is governed by the University's current Enterprise Agreement, the provisions relating to redundancy in clauses 316-334 of the Agreement apply. Provisions for employees governed by other industrial instruments may differ.

2. Where a redundancy is approved, the following applies:

Taxation of redundancy payments

3. A bona fide redundancy severance payment is defined as an eligible termination payment and is subject to a concessional rate of taxation in accordance with taxation legislation as it applies at the time of the redundancy. Employees are encouraged to seek independent financial advice on the impact of taxation legislation and rulings on their redundancy and final payments.

Other termination payments

4. In addition to the redundancy payments authorised by the enterprise agreement, an employee will also be entitled to the following payments:

• Annual leave - accrued annual leave up to a maximum of eight weeks.
• Leave loading - a pro-rata leave loading, calculated on the basis of working days of service from the preceding 1st January (or commencement date, which ever is the later) to the date of termination.
• Long service leave (LSL) - accrued LSL.

Rate of payment

5. Redundancy and termination payments will be calculated at the employee's ordinary rate of pay. Any additional allowances received over and above the employee's ordinary rate of pay will not apply.

6. Where an employee has accepted a temporary variation to their substantive appointment and retains a right of return to the terms of their substantive appointment, the salary of their substantive appointment will be used to calculate any redundancy and termination payments.

Return of University property

7. Employees are required to return all University property (eg. keys, library material, equipment [including laptops, mobile phones and iPads], stores items, charge cards, SIM cards and deactivated mobile services) in their possession prior to ceasing duty. Any outstanding library items must also be returned.