Regulation 4 Amendment of regulation 7 of the principal Regulations

in paragraph (1)–

after paragraph (4) there shall be added the following paragraphs–

“(5)

For the purposes of paragraph (1)(d), “the ineligible period” is the period which begins on the day following the termination of the employment and ends–

(a)

in a case where the person who paid the compensation represents that it, or part of it, was paid in lieu of notice of termination of employment or on account of the early termination of a contract of employment for a term certain–

(i)

on the due date, unless sub-paragraph (b) of this paragraph also applies; or

(ii)

if that sub-paragraph does apply, on the date determined under it;

(b)

in a case where the person who paid the compensation represents that it, or part of it, was paid in lieu of consultation under section 99 of the Employment Protection Act 1975^f1, on the later of–

(i)

the day on which the consultation period under that section would have ended; and

(ii)

where sub-paragraph (a) of this paragraph also applies, the due date or, where that sub-paragraph does not apply, the standard date; or

(c)

in any other case, the standard date.

(6)

In this regulation–

“compensation” means any payment made to or for a person in respect of the termination of the employment other than–

(a)

any remuneration paid in respect of the period before the termination;

(b)

any holiday pay;

(c)

any payment not falling within paragraph (a) or (b) of this definition which is paid in respect of any emolument of the employment (whether in money or in kind) and which has accrued before the termination of the employment;

(d)

any redundancy payment within the meaning of section 81(1) of the Employment Protection (Consolidation) Act 1978; and

(e)

any refund of contributions to which he was entitled under an occupational pension scheme within the meaning of section 66(1) of the Pensions Act;

• “due date”, in relation to the termination of a person’s employment, means whichever of the following dates is applicable in his case, that is to say–

  1. (a)

     the date on which any period of notice applicable to the person was due to expire or would have been due to expire if it had not been waived;

  2. (b)

     where he had a contract of employment for a term certain, the date on which it was due to expire;

  and for the purpose of paragraph (a) of this definition “period of notice” means the period of notice of termination of employment to which a person is entitled by statute or by contract, whichever is the longer, or, if he is not entitled to such notice, that period of notice which is customary in the employment in question;

• “the standard date” means the earlier of–

  1. (a)

     the due date; and

  2. (b)

     the last day of the period determined by–

     1. (i)

        dividing the amount of the compensation by the maximum weekly amount which, on the day following the day of termination of employment, is specified in paragraph 8(1)(c) of Schedule 14 to the Employment Protection (Consolidation) Act 1978^f2, and

     2. (ii)

        treating the result (less any fraction of a whole number) as a number of weeks;

• “week” means any period of 7 days (including a Sunday).”.