In a survey of over 4,000 employees, the consumer champion found more than a quarter (27%) of adults were worried about being made redundant, and a similar number (24%) were concerned that their employer might reduce or freeze their pay.
The survey also found 6% of respondents were made redundant in the past two years, while 10% endured a pay freeze. But when quizzed on their rights in these situations, 98% were unable to answer key questions correctly.
Half of Brits mistakenly believed that they would always have the right to a redundancy payment from their employer, when legally they would have to have worked for them continuously for at least two years and 70% were unaware of the amount of redundancy payment they are entitled to depends on their age.
Almost half had no idea employers can choose who to make redundant based on a ‘last in, first out' basis and 58% mistakenly believed their boss could change their employment terms by giving them 30 days' notice.
Which? chief executive, Peter Vicary-Smith, said: "Our research shows most people would have absolutely no idea what their rights were if faced with redundancy or a pay cut. Ignorance is anything but bliss in these situations - it really does pay to know where you stand."
