Vital Support for Employees Affected by Business Insolvencies
The Insolvency Service’s Redundancy Payments Service (RPS) has been a crucial lifeline for employees impacted by company failures. In the fiscal year 2023-2024, the RPS processed 85,592 claims, disbursing £494 million from National Insurance contributions to individuals facing financial hardship due to insolvency. The RPS ensures rapid processing of claims, averaging 10 days, and covers unpaid wages, holiday pay, and statutory notice pay. Remarkable cases include £53.7 million paid within 24 hours to nearly 10,000 former employees of Wilko. The service also issued protective awards to employees not consulted before redundancy, totalling over £3.5 million to former staff of Debenhams [...]