In Kraft Foods UK Ltd v Hastie EAT/0024/10, the EAT held that a contractual redundancy scheme that capped payments at the total amount of earnings that the employee would have received prior to retirement was justified as a proportionate means of preventing redundant employees from receiving a windfall.
The Employment Appeal Tribunal has held that a redundancy scheme that incorporated an age-related cap on payments was a proportionate means of achieving the legitimate aim of preventing employees from receiving a "windfall" and was not age discriminatory.
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