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Guarantee Payments

Key Points

  • Guarantee Payments may be payable if an employee is laid off.
  • Employees must satisfy qualifying criteria for Guarantee Payments.
  • The employer must be contractually entitled to lay off employees.
  • Part time workers and fixed term workers can be entitled to Guarantee Payments.
  • The amount of a Guarantee Payment will be offset against payments made by the employer.
  • Refusing alternative work can affect entitlement.
  • Partial workless day will not benefit from a Guarantee Payment.  
  • An employee must keep their services available to their employer to claim a Guarantee Payment.
  • Time off for strike is excluded.
  • Some employees under collective agreements have opted out of receiving a Guarantee Payment.
  • Laid off employees may be entitled to a Statutory Redundancy Payment.
  • Employers have a defence to a claim for Statutory Redundancy Payment by laid off employees. 

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