WO toolkit 2012 complete.pdf - GMB
WO toolkit 2012 complete.pdf - GMB
WO toolkit 2012 complete.pdf - GMB
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SECTION 5.38<br />
38. Once I am redundant am I entitled to benefits?<br />
You may be able to claim welfare benefits after you have received your redundancy payment.<br />
You may be entitled to jobseeker’s allowance(JSA).This is a benefit for people who are unemployed or<br />
who work less than 16 hours a week and who are looking for full-time work.<br />
There are two types of JSA.Contribution-based JSA is paid if you satisfy the national insurance<br />
contributions conditions.Income-based JSA is paid if you have not paid national insurance<br />
contributions and you pass the means test.<br />
There are a number of means tested benefits to which you may be entitled including income support,<br />
housing benefit and council tax benefit.<br />
Working Tax Credit(WTC)is a means tested benefit for working people on low wages.Contact the Tax<br />
Credit Office of the Inland Revenue for details.<br />
To qualify for means tested benefits income,capital(which includes your redundancy payment but<br />
does not include your home)and savings must fall within the financial limits.For income support,as<br />
well as for housing benefit/council tax benefit and income-based job seekers allowance,you are<br />
excluded from benefit if your capital is above the upper limit of £16,000.Capital at or below the lower<br />
limit of £6,000 dors not affect your benefit.If your capital is between the limits then an amount of<br />
‘tariff income’from capital is assumed,worked out using a fixed formula.If you move permanently into<br />
a care home,an Abbeyfield Home,or an independent hospital,the lower capital limit goes up to<br />
£10,000.<br />
Volunteering for redundancy should NOT stop you receiving benefits(provided your redundancy<br />
payment does not take you over the financial limit for means tested benefits).However,a redundancy<br />
payment in excess of the statutory amount will be treated as earnings and income-based JSA cannot<br />
be paid for the period covered by the payment after your employment ended.<br />
REMEMBER: there may be more than one person affected by this issue.<br />
Consider calling a meeting to advise,recruit and organise.