Delayed redundancy payments

If the client has been granted a benefit and then receives a redundancy payment within 52 weeks after the date the client's employment ceased, the benefit stand-down and date employment ceased must be reassessed.

To review the initial stand-down:

• divide the redundancy payment by 26 weeks (and 52 weeks if the client's entitlement date to benefit is on or after 1 May 2005). Add the appropriate weekly redundancy amount to the client's average weekly income received before employment ceased.
• re-assess the length of the initial stand-down period to determine a new commencement date. Remember to use the calculation that provides the client with the lesser stand-down period.

and

• establish an overpayment for any monies paid to the client prior to the reassessed commencement date