Calculator · Statutory notice

Statutory notice pay calculator

Statutory minimum notice is one week if you have been employed for 1 month or more, plus an extra week for each complete year up to a maximum of 12 weeks. Your contract may give more, never less.

Statutory notice ladder

Length of continuous service	Statutory minimum notice
1 month to 2 years	1 week
2 years	2 weeks
3 years	3 weeks
5 years	5 weeks
10 years	10 weeks
12 years or more	12 weeks

Statute, in 30 seconds

The statutory minimum is set out in ERA 1996 s.86. It is the floor. A contract can extend it (3 months, 6 months, 12 months for senior roles) but cannot shorten it. If your contract says 4 weeks and you have been there 9 years, statute overrides: you get 9 weeks.

PILON: paid in lieu, taxed as earnings

Pay In Lieu Of Notice is taxed as employment income, not as a §401 termination payment. From April 2018 the Post-Employment Notice Pay (PENP) formula in F(No.2)A 2017 s.5 forces a slice of any termination payment to be taxed as if it were PILON, even if the contract has no PILON clause. The PILON portion does not eat into the £30,000 tax-free slice.