Skip to main content Skip to accessibility
This website is not compatible with your web browser. You should install a newer browser. If you live in Jersey and need help upgrading call the States of Jersey web team on 440099.
Government of Jerseygov.je

Information and public services for the Island of Jersey

L'înformâtion et les sèrvices publyis pouor I'Île dé Jèrri

Employment (Redundancy - Maximum Weekly Amount) (Jersey) Order 2011: Amendment: Law drafting instructions

A formal published “Ministerial Decision” is required as a record of the decision of a Minister (or an Assistant Minister where they have delegated authority) as they exercise their responsibilities and powers.

Ministers are elected by the States Assembly and have legal responsibilities and powers as “corporation sole” under the States of Jersey Law 2005 by virtue of their office and in their areas of responsibility, including entering into agreements, and under any legislation conferring on them powers.

An accurate record of “Ministerial Decisions” is vital to effective governance, including:

  • demonstrating that good governance, and clear lines of accountability and authority, are in place around decisions-making – including the reasons and basis on which a decision is made, and the action required to implement a decision

  • providing a record of decisions and actions that will be available for examination by States Members, and Panels and Committees of the States Assembly; the public, organisations, and the media; and as a historical record and point of reference for the conduct of public affairs

Ministers are individually accountable to the States Assembly, including for the actions of the departments and agencies which discharge their responsibilities.

The Freedom of Information Law (Jersey) Law 2011 is used as a guide when determining what information is be published. While there is a presumption toward publication to support of transparency and accountability, detailed information may not be published if, for example, it would constitute a breach of data protection, or disclosure would prejudice commercial interest.

A decision made 23 August 2013:

Decision Reference: MD-S-2013-0076

Decision Summary Title :

Redundancy Pay Amend Order Law Drafting

Date of Decision Summary:

21 August 2013

Decision Summary Author:

Policy Principal

Decision Summary:

Public or Exempt?

Public

Type of Report:

Oral or Written?

Written

Person Giving

Oral Report:

NA

Written Report

Title :

Redundancy Pay Amend Order Law Drafting

Date of Written Report:

21 August 2013

Written Report Author:

Policy Principal

Written Report :

Public or Exempt?

Public

Subject: Law Drafting instructions - Amend the Employment (Redundancy – Maximum Weekly Amount) (Jersey) Order 2011

Decision(s): The Minister decided to request the drafting of an amendment to the Employment (Redundancy – Maximum Weekly Amount) (Jersey) Order 2011 to amend the maximum value of a week’s pay for the purpose of calculating a redundancy payment.

Reason(s) for Decision: The Employment (Redundancy – Maximum Weekly Amount) (Jersey) Order 2011 is made under the Employment (Jersey) Law 2003. The Minister’s intention is that the maximum value of a week’s pay should be set by reference to the mean average weekly earnings figure, as released by the States of Jersey Statistics Unit each year. The June 2013 report on the Index of Average Earnings reported a mean weekly average earnings figure of £660 per week. The Order must be amended to set the maximum value of a week’s pay at £660 from 1 October 2013.

Resource Implications: There are no financial or manpower implications arising from the law drafting instructions.

Action required: Policy Principal to submit drafting instructions to the Law Draftsman’s Office.

Signature:

 

 

Position:

 

 

Date Signed:

 

Date of Decision (If different from Date Signed):

 

Employment (Redundancy - Maximum Weekly Amount) (Jersey) Order 2011: Amendment: Law drafting instructions

LAW DRAFTING INSTRUCTION

 

Employment (Redundancy – Maximum Weekly Amount) (Jersey) Order 2011; Amendment to revise the maximum value of one week’s pay

 

The right to receive a redundancy payment for qualifying employees came into force on 1 January 2011.  Article 60C of the Employment (Jersey) Law 2003 provides that the amount of a redundancy payment is calculated as follows:

 

“60C    Amount of redundancy payment

 

(1)    The amount of a redundancy payment shall be calculated by allowing one week’s pay for each year of employment during the period, ending with the effective date of termination, in which the employee has been continuously employed.

(2)    For the avoidance of doubt, in this Article ‘year’ means a period of 12 calendar months.

(3)    For the purposes of paragraph (1), the amount of one week’s pay shall not exceed the amount specified by Order under paragraph (4), or, if no such Order is in force on the effective date of termination, the most recent figure for the average weekly earnings published by the States of Jersey Statistics Unit at least one month before the effective date of termination (disregarding any more recent figure published less than a month before the effective date of termination).

(4)    The Minister may, by Order, specify an amount for the purposes of paragraph (3).”

 

When Article 60C came into force on 1 January 2011, the ‘default’ position (in the absence of a Ministerial Order) applied and the maximum weekly value was the June 2010 average weekly earnings figure of £630, as published by the States of Statistics Unit in August 2010.

 

In August 2011, however, the Statistics Unit released two average weekly earnings figures in its June 2011 report on the Index of Average Earnings: the mean average weekly earnings figure of £650 per week and a median average weekly earnings figure of £520 per week.

 

It was not intended that there should be any uncertainty as to which average earnings figure applies for the purpose of a redundancy pay calculation and so an Order was made to give effect to the policy intent that the mean average earnings figure of £650 would apply. The Employment (Redundancy – Maximum Weekly Amount) (Jersey) Order, 2011, was made on 30 September 2011.

 

The Minister intends that the Employment Law will be amended in 2014 to refer specifically to the mean average weekly earnings figure. In the meantime, the Employment (Redundancy – Maximum Weekly Amount) (Jersey) Order, 2011, must be amended to set the new maximum weekly value in accordance with the mean average weekly earnings figure, as reported in the June 2013 Statistics Unit report on the Index of Average Earnings[1].

 

The weekly figure of £660 would apply from 1 October 2013 so that, where an employee’s effective date of termination is 1 October 2013 or later, the maximum week’s pay for the purpose of the redundancy pay calculation would be £660.


Back to top
rating button