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Compensation: 'Redundancy' payment not set off

This report relates to 1 case(s)

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    Bowyer v Siemens Communications Ltd EAT/0021/05 (0 other reports)

In Bowyer v Siemens Communications Ltd 03.08.05, EAT/0021/05, the EAT holds that in order for s.122(4) of the Employment Rights Act 1996 - the offsetting of the basic award by the amount of any payment made by the employer to the employee on the ground that the dismissal was by reason of redundancy - to come into play, a tribunal must find that an employee's dismissal is actually on the ground of redundancy. Where this is not the case, following Boorman v Allmakes Ltd [1995] IRLR 553, a payment by the employer to the dismissed employee expressed as a "redundancy payment" will not be set off against the basic award made by the tribunal.