Late dad's redundancy from insolvent company
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Don't know if this is the right place for this, but here goes
My late father was made redundant in 2011, he had worked for the company since 1974. My dad passed away in 2013.
My mum got a letter today addressed to my dad, with a form to be completed giving details of money owed as the company is to be liquidated, and the assets distributed to creditors.
Would any money owed be payable to my dad's estate, my mum was the only beneficiary?
She has no idea of any amounts he might have been owed, I believe he was underpaid for the last 4 months of his employment, and he received no redundancy payment, would the company have any records?
She in no way needs money, but does not want to feel like my dad had worked for nothing.
Are former employees a long way down the list of priorities when distributing assets?
Any advice or experiences in this kind of thing would be appreciated.
My late father was made redundant in 2011, he had worked for the company since 1974. My dad passed away in 2013.
My mum got a letter today addressed to my dad, with a form to be completed giving details of money owed as the company is to be liquidated, and the assets distributed to creditors.
Would any money owed be payable to my dad's estate, my mum was the only beneficiary?
She has no idea of any amounts he might have been owed, I believe he was underpaid for the last 4 months of his employment, and he received no redundancy payment, would the company have any records?
She in no way needs money, but does not want to feel like my dad had worked for nothing.
Are former employees a long way down the list of priorities when distributing assets?
Any advice or experiences in this kind of thing would be appreciated.
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So he worked there for over 25 years, was made redundant and didn't receive any redundancy money from the company? I find that hard to believe.
It could be the Insolvency Practitioners have been given out of date information about who the employees were at the date of insolvency.0 -
No I'm sure he didn't, my mum would remember if he had got a large sum. The letter came with a voting form and an invitation to a meeting with the insolvency practioner on the 9th of October.ISA £1675MiniMoohound savings £3685.86 :T Plus £3800 CTF
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Poacher turned Gamekeeper
Roadkill rebel No 52 Aug £1.34p Sept 24p Oct 5p Nov 5p Sealed pot Challenge No 403 £176.66(2014) :staradmin NOV NST No 200 -
It was a building/joinery company, my dad was a QS. I remember him getting £800 in owed travel expenses a few months later, but that was it. My mum says he got no redundancy money, and he isn't here to ask.So he worked there for over 25 years, was made redundant and didn't receive any redundancy money from the company? I find that hard to believe.
It could be the Insolvency Practitioners have been given out of date information about who the employees were at the date of insolvency.
My mums says she remembers him saying that the company had no money, they had even sold all their vehicles before going into administration.
He was asked to stay on for a few months to help when the company went into administration, that's when he got the reduced pay.
We will ring the IP tomorrow and see if is worth persuing.ISA £1675MiniMoohound savings £3685.86 :T Plus £3800 CTF
'MrMoneyMuststache' my new hero, Martin Lewis my long time hero
Poacher turned Gamekeeper
Roadkill rebel No 52 Aug £1.34p Sept 24p Oct 5p Nov 5p Sealed pot Challenge No 403 £176.66(2014) :staradmin NOV NST No 200 -
So the company went into Administration in 2011? Sorry I got the impression that it had just failed.
If he was made redundant as a result of the Administration he should have received forms from the Administrators at that time to claim his statutory redundancy, notice pay and holiday pay from the Governments National Insurance Fund. You will need to check with them why that appears not to have happened.
They are clearly aware of him as you have received what I would think would be standard creditor correspondence re the move from Administration to Liquidation (which is quite normal)0 -
AIUI employee wages/holiday pay are preferential creditor not sure about other payments like redundancy
loads of links on insolvency and order of creditors
one example.
http://www.finance7.co.uk/services/liquidation/creditor-order-of-priority/0 -
All 97 employees were made redundant in late 2010, he was one of 8 kept on to help the administrators.So the company went into Administration in 2011? Sorry I got the impression that it had just failed.ISA £1675MiniMoohound savings £3685.86 :T Plus £3800 CTF
'MrMoneyMuststache' my new hero, Martin Lewis my long time hero
Poacher turned Gamekeeper
Roadkill rebel No 52 Aug £1.34p Sept 24p Oct 5p Nov 5p Sealed pot Challenge No 403 £176.66(2014) :staradmin NOV NST No 200 -
At the time of finishing his employment with the company followed by the short term with the Administrators he should have completed an RP1form which would have allowed him to claim redundancy,money in lieu of notice and any outstanding holiday pay,i think the maximum is now approx £14K in total0
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