Frequently asked questions
1. What service is calculated when determining a redundancy or retrenchment package?
The Early Retirement, Redundancy and Retrenchment Directive 11/12 outlines service that may be recognised. Schedule B, 4 states ‘Previous recognised employment includes all recognised employment (including temporary employment) in the categories specified in Directive 10/10 relating to recognition of previous service and employment’.
2. I have worked as a casual for the department before becoming permanent. Is that service counted?
Effective from Monday 1 October 2012 eligible periods of casual employment will be recognised in the calculation of severance payments. Contact your agency HR area for further advice.
3. My employment history has changed over time, including full-time and part-time arrangements. How is this calculated in the redundancy and retrenchment payment?
For the severance payment
If your service was continuous, then each period of service should be entered according to the number of hours you worked each fortnight.
For example:
- from 01/01/2002 to 12/12/2005 at 72.5 hours per fortnight
- from 13/12/2005 to 30/06/2006 at 36.25 hours per fortnight
- from 01/07/2006 to 31/08/2012 at 58 hours per fortnight.
The estimator will then convert this total period (from 01/01/02 to 31/08/12) to a full-time equivalent (FTE).
For the incentive payment
The incentive payment is based on your FTE at the time of offer or separation. The estimator will use the hours per fortnight entered in Step 1 that corresponds with the separation date entered at Step 3.
For example:
- from 01/01/2002 to 12/12/2005 at 72.5 hours per fortnight
- from 13/12/2005 to 30/06/2006 at 36.25 hours per fortnight
- from 01/07/2006 to 31/08/2012 at 58 hours per fortnight
With a separation date of 31 August 2012, the estimator will use 58 hours per fortnight to work out the FTE (i.e. 0.8 FTE) on which to base the incentive payment.
4. As a part-time employee, is my service converted to full-time equivalent for calculating the redundancy or retrenchment package?
Yes—see previous question.
5. I worked for the public service in another state or for the Australian Government. Is that service considered when determining my redundancy or retrenchment package?
If the service is recognised under Directive 10/10 and termination from the recognised service was not a result of a redundancy or voluntary early retirement, then it may be included when determining the severance payment.
6. I can’t remember all my service. Where can I get a copy of my service history? How long does it take to get? What if I disagree with that service history?
If your history is complicated, one of your agency’s HR officers may be able to access details of your service history through the payroll system or your personnel file.
However, where there is a requirement to apply for recognition of service (i.e. previous service in federal or local government), it is assumed that the employee has asked for this to occur. If your current employer does not have full details of your service history then you may be asked to provide proof of service, particularly if you were previously employed outside of Queensland Government.
7. What impact does higher duties have on any payout?
If an employee is on higher duties as at the date of termination, then the employee’s cash equivalent of recreation leave and leave loading is calculated at the higher duties rate.
Refer to directives:
If an employee has been continuously on higher duties for 12 months or more, then the employee’s cash equivalent of long service leave is also calculated at the higher duties rate.
Refer to directives:
8. How does the enterprise bargaining agreement (EBA) increase affect the redundancy or retrenchment package?
To be eligible for an EBA increase, the date of certification of the agreement must be before your last day of work.
9. I am not sure how to use the estimator. Can you give some examples?
If you still require assistance, your agency VR or HR contact officer can help you.
10. Does my redundancy package include penalty rates and allowances?
Generally, as per Directive 11/12, the rate of pay used is the ‘ordinary time rate of pay’, which excludes overtime, penalty rates, disability allowances, shift allowances, fares and travelling time allowances and any other ancillary payments. Allowances that may be included will vary according to the location, conditions and award under which you are employed. Speak to your HR officer for further advice.
11. What happens if my final redundancy payout figure is lower than I calculated?
The calculation is an estimate only.
Variations will occur depending on the accuracy of the information entered. Errors in service history records, leave accruals, outstanding leave arrangements, increments or other factors could affect the final payout figure.
If you suspect that any item of your payout figure is based upon incorrect data, please contact your department’s VR or HR representative for advice.
12. I don’t have a simple, standard service history. Can I still get an estimate of my payout figure?
Yes. Contact your agency HR area for advice.
