Redundancy affect on JSA

I am currently dealing with an issue concerning a client of mine who is facing redundancy in the next week.

The client has been given a 8 weeks pay and a redundancy package to be paid at the end of the 8 weeks in a lump sum. This will cause obvious financial strain for the client.

Could anyone please advise me how this redundancy package will affect my clients ability to claim JSA/IS, would her employment be considered as ended next week or at the end of the 8 weeks redundancy package?

My client is a lone parent with two young children and they currently claim CTC, WTC, CB and HB/CTS

Any advice would be greatly appreciated

Thank you

Pay in lieu of notice is counted at income, a redundancy lump sum is treated as capital.  If she is currently unemployed and a work seeker then she could claim JSA, declaring her current circumstance and then declare her new circumstance in 8 weeks time.

If one of children is under 5 then she may be able to claim IS.  The pay in lieu and redundancy will be treated as stated above.  She should be eligible for 4 weeks run on after employment end in respect of her WTC; if she has been given 8 weeks notice then that is effectively the end of her employment. The rules concerning HB and CTS vary across the country so I cannot advise on these for Birmingham. She will need to declare a change of circumstances for these.

Employment usually ends when your contract of employment is terminated.  If you claim after that date pay in lieu of notice is ignored.  Holiday pay is usually ignored except where it is payable more than 4 weeks after the employment is terminated.  Then it counts as capital.  Statutory redundancy pay counts as capital.  Contractual redundancy pay is ignored for JSA but counts as capital for IS except for some part time workers.  If you claim before your job ends then, yes, final payments of earnings, payments in lieu of notice and holiday pay are usually taken into account.