What must a redundancy notice letter include in Australia?

A compliant redundancy notice should include: (1) a clear statement that the role is being made redundant, (2) the reason for redundancy linking to a genuine operational change, (3) confirmation it is a 'genuine redundancy' under section 389 of the Fair Work Act 2009, (4) the notice period being given (under the NES + contract), (5) the last working day, (6) redundancy pay calculation under section 119 of the Fair Work Act, (7) payout of unused annual leave and any long service leave, and (8) information on rights and how to seek further advice.

What is a genuine redundancy under the Fair Work Act?

Under section 389 of the Fair Work Act 2009, a redundancy is 'genuine' only if (a) the employer no longer requires the job to be performed by anyone because of changes in operational requirements, (b) the employer has complied with any consultation obligations under the applicable award or agreement, and (c) the employer has considered whether redeployment to another role within the company (or an associated entity) is reasonable. If any of these are missing, the dismissal may be unfair.

How much notice must an employer give for a redundancy?

Under the National Employment Standards, the minimum notice an employer must give is: 1 week (less than 1 year of service), 2 weeks (1–3 years), 3 weeks (3–5 years), or 4 weeks (5+ years). Add 1 extra week if the employee is 45 years old or over with at least 2 years of continuous service. The contract or award may require more — whichever is greater applies.

How is redundancy pay calculated?

Section 119 of the Fair Work Act sets the NES redundancy pay scale: 4 weeks (1–2 years of service), 6 weeks (2–3 years), 7 weeks (3–4 years), 8 weeks (4–5 years), 10 weeks (5–6 years), 11 weeks (6–7 years), 13 weeks (7–8 years), 14 weeks (8–9 years), 16 weeks (9–10 years), 12 weeks (10+ years — the cap drops). 'Small business employers' (fewer than 15 employees) may be exempt. Redundancy pay is calculated at the employee's base rate for ordinary hours.

Do I have to offer redeployment before making a role redundant?

Yes — to qualify as a genuine redundancy, the employer must have considered whether redeployment is reasonable in the circumstances. This includes redeployment to other roles within the same employer or an associated entity. The redeployment doesn't have to be offered if no suitable role exists, but a record of considering it is essential to defend any unfair-dismissal claim that follows.

Will FairWork Mate send the letter for me?

No. We generate a PDF that you download and send under your own name. We never contact employees on your behalf. We strongly recommend HR or legal review before delivering a redundancy notice — getting it wrong is one of the most common reasons for unfair-dismissal claims.

Redundancy Notice Letter Template (Australia 2026)

Free template letter for employers issuing notice of redundancy. Cites the Fair Work Act 2009 (genuine-redundancy s.389, notice s.117, redundancy pay s.119) and lays out the NES final-pay items. Not legal advice.

Last verified: 1 July 2025

Genuine redundancy under section 389 requires: (1) the role no longer needed, (2) consultation per award, (3) consideration of redeployment. This template covers all three.

Before you send a redundancy notice

Confirm the role is no longer needed. A genuine redundancy is about the role disappearing, not about removing a person you no longer want.
Consult under the award or agreement. Most Modern Awards require consultation about the change BEFORE the decision is made — not just informing afterwards. Failure to consult is the single biggest reason redundancies become unfair dismissals.
Consider redeployment. Look across the company and any associated entities for suitable alternative roles, even if the employee would need training. Document this.
Calculate notice and redundancy pay correctly. Use the FWM Redundancy Pay Calculator and Notice Period Calculator.
Deliver in person where possible. Have a support person available. Don't deliver redundancy by email or text.
Have HR or legal review the letter before sending. The cost of getting it wrong is an unfair-dismissal claim worth up to 26 weeks of pay.

Small business exemption

Employers with fewer than 15 employees are generally exempt from paying NES redundancy pay (section 121 of the Fair Work Act). Notice obligations still apply. Check the Small Business Fair Dismissal Code for the additional process you must follow.

ATO Genuine Redundancy Tax-Free Limit 2025-26 — Calculate Your Tax-Free Amount

The ATO genuine redundancy tax-free limit for 2025-26 is $12,524 base plus $6,260 per completed year of service. Calculate your tax-free component, ETP treatment, and maximise your after-tax payout.

Redundancy Pay Calculator: Work Out Your Exact Payout

Use our free redundancy pay calculator to work out exactly how much redundancy pay you're entitled to in Australia. Covers NES minimums, service periods, tax-free thresholds, and what to do if your employer won't pay.

Laid Off in 2026? Redundancy Survival Guide: Pay, Centrelink & Next Steps

A comprehensive survival guide for workers made redundant in 2026. Covers how to verify genuine redundancy, calculate your entitlements, understand tax on redundancy pay, navigate Centrelink waiting periods, and plan your next steps including upskilling options.

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General information and estimates only — not legal, financial, or tax advice. Always verify with the Fair Work Ombudsman (13 13 94) or a qualified professional.

Redundancy Notice Letter Template (Australia 2026)

Sender details (employer)

Employee details

Redundancy details

Final pay

Before you send a redundancy notice

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