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5.—(1) Compensation may be paid in accordance with this regulation to a person who is entitled to a redundancy payment under the 1996 Act on the termination of his employment.
(2) The amount which may be paid must not be more than the difference between—
(a)the redundancy payment to which he is entitled under Part XI of the 1996 Act; and
(b)the payment to which he would have been entitled if there had been no limit on the amount of a week’s pay used in the calculation of his redundancy payment(1).
(3) The power to pay compensation is exercisable—
(a)where the employment was at a voluntary, foundation or foundation special school (within the meaning of section 20 of the School Standards and Framework Act 1998(2)) by the local education authority;
(b)in any other case, by the body by whom he is employed immediately before the termination date.
See section 227 of the Employment Rights Act 1996 (c. 18).
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