Lay-offs and short-time working

New and updated

• Type:

  Quick reference

  Compensation - pay and statutory payments

  Updated to take into account the increase in the cap on a week's pay with effect from 6 April 2025.

• Type:

  Employment law guide

  Guarantee payments

  Updated to reflect the increase in the maximum amount of a guarantee payment, effective from 6 April 2025.

• Type:

  FAQs

  If an employee is prevented from working due to outside circumstances, are they still entitled to payment?

• Type:

  Employment law guide

  Lay-off and short-time working

  This guide explains the law around lay-off and short-time working, under which an employer can exercise a contractual right to stop or reduce an employee's pay where it has insufficient work for them. The employer must have a contractual right, or the employee's consent, to do this.

• Type:

  Letters and forms

  Letter inviting employees to meeting to set out lay-off plans (in exercise of contractual right to lay off)

  A model letter to invite affected employees to a meeting to set out lay-off plans, where there is a contractual right to lay off.

• Type:

  Letters and forms

  Letter inviting employees to meeting to set out short-time working plans (in exercise of contractual right to place on short-time working)

  A model letter to invite affected employees to a meeting to set out short-time working plans, where there is a contractual right to place an employee on short-time working.

• Type:

  Letters and forms

  Letter imposing lay-off (in exercise of contractual right to lay off)

  A model letter imposing a lay-off in exercise of a contractual right.

• Type:

  Letters and forms

  Letter imposing short-time working (in exercise of contractual right to place on short-time working)

  A model letter imposing short-time working in exercise of a contractual right.

• Type:

  Letters and forms

  Letter inviting employee to a meeting to discuss lay-off proposal (no contractual right to lay off - express consent necessary)

  A model letter inviting affected employees to a meeting to discuss a lay-off proposal, where there is no contractual right to lay off.

• Type:

  Letters and forms

  Letter inviting employee to meeting to discuss short-time working proposal (no contractual right to place on short-time working - express consent necessary)

  A model letter inviting affected employees to a meeting to discuss a short-time working proposal, where there is no contractual right to place an employee on short-time working.