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Should I Accept This Redundancy Package?
FairWork
Mate
Before you sign anything
Most redundancies are paired with a deed of release. Don't sign one until you understand what you're waiving.
If the redundancy might not be genuine (s.389 Fair Work Act), you may have an unfair dismissal claim.
21-day clock
from the date of dismissal.
Even genuine redundancies can be over-, at-, or under-minimum. This tool tells you which.
Tax treatment depends on whether the redundancy is “genuine” for ATO purposes (different test from s.389).
Your situation
Years of continuous service
Decimals OK (e.g. 5.5).
Current annual base salary ($)
Excluding super.
Redundancy package being offered ($)
Total cash redundancy payment, excluding accrued leave + notice.
The process
Were you consulted about the redundancy?
Notice of proposed change + opportunity to respond + consideration of feedback. Required by most modern awards.
Was redeployment to another role considered?
Including roles in associated entities (parent / subsidiary / sister companies).
Is the employer a small business (under 15 employees)?
Section 121 exempts small business from statutory redundancy pay obligation.
Your view of the redundancy
Do you believe the role is genuinely no longer required?
Yes — I accept the role isn't needed
Uncertain — I don't really know
No — I think the role is still being performed
I already have a confirmed new job offer
Affects timeline pressure but not entitlements.
Show me what to do
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