Redundancy or loss of income

Redundancy or loss of income

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Discover your options if you are made redundant or have a loss of income, what to do next, and what support you can receive.

What is redundancy?

Being made redundant is a form of dismissal from your job and it can either be involuntary, which could come as a shock causing concerns towards your finances, or voluntary. It occurs when employers need to reduce their workforce, which could happen for a number of reasons, but mainly due to their own financial strains and need to cut costs or the company has gone into administration.

If you are being made redundant, there are a number of things you are entitled to which could help in the sudden change of circumstance, including:

  • Redundancy pay – The amount is often calculated based on how long you have been working for the company.
  • A notice period
  • A consultation with your employer
  • The option to move into a different job
  • Time off to find a new job

If your employer is having to make some of their staff redundant, then they must be chosen in a fair process based on experience and capabilities. The selection cannot be chosen based on age, gender, disabilities, or pregnancies, otherwise, it will be classed as unfair dismissal and you can dispute it.

What to do if you have a loss of income

Some people may opt for voluntary redundancy due to a number of reasons, such as they were already looking for a new role, want to go travelling or are planning to go back to further education. However, just because your redundancy was done by choice, doesn’t mean that there won’t be a strain on your finances. Involuntary redundancy will most likely put a strain on your finances, particularly if you struggle to get another job.

Either way, your income has changed and if you find yourself with less income as before or none at all, then you may need some advice on what to do next. There are many organisations that can provide free and confidential advice and support, including:

It is also important to keep your thinkmoney account up to date so that you don’t miss any of your bills to avoid the risk of getting into debt.

Need some help?

We’re happy to support you with any issue that might be impacting your finances. Contact our specialist team on 0161 779 5000.

Opening times:

Monday - Thursday: 8:00am - 8:00pm

Friday: 8:00am - 6:30pm

Saturday: 8:00am - 4:30pm

Need some help?

We’re happy to support you with any issue that might be impacting your finances. Contact our specialist team on 0161 779 5000.

Opening times:

Monday - Thursday: 8:00am - 8:00pm

Friday: 8:00am - 6:30pm

Saturday: 8:00am - 4:30pm

How the thinkmoney app can help you manage your money

Our budgeting feature helps you take control of your finances. Once you have told us how much your bills are each month, we will ensure enough is kept aside. That way you can’t accidentally spend it so you’ll never miss a bill again. With 24/7 access to your account via the app, you can:

  • Keep your bills money aside
  • Check your balance on the go
  • Secure Face/Touch recognition
  • Manage Direct Debits
  • Manage standing orders
  • Freeze your card