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Garden Leave- company refuse to pay

NoreenOMS
Posts: 106 Forumite
Hi, I wondered if anyone has any experience of redundancy and garden leave? My husband was advised of the possiblity of redundancy at the end of September, and put in for voluntary. He was then given a letter on the 17th October stating that as of that day he was being put on garden leave and his employment would terminate on the 29th October.
On the 31st October he was paid his redundancy, holiday pay and notice pay of one week for each year he has been there. However, he was not paid for his garden leave. Contacting his work led to no arrival- they claim that this was part of his notice and he effectively finished on the 17th October-this is not the case- he has a letter from them which states that he is on garden leave with immediate effect and that his employment terminates on the 29th October. Even his P45 says a leaving date of 29th October. If they claim that his employment terminated on the 17th with no further wages than that would be less than a 30 day consultation for the redundancy.
Does anyone have any advice on this? He has lost out on about £400.
Thanks,
On the 31st October he was paid his redundancy, holiday pay and notice pay of one week for each year he has been there. However, he was not paid for his garden leave. Contacting his work led to no arrival- they claim that this was part of his notice and he effectively finished on the 17th October-this is not the case- he has a letter from them which states that he is on garden leave with immediate effect and that his employment terminates on the 29th October. Even his P45 says a leaving date of 29th October. If they claim that his employment terminated on the 17th with no further wages than that would be less than a 30 day consultation for the redundancy.
Does anyone have any advice on this? He has lost out on about £400.
Thanks,
:snow_laug
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Comments
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Not had time to think this through but my immediate answer is that garden leave is notice and therefore no more monies would be due ie you don't get garden leave and notice.
Someone with a sensible head on will be along soon to confirm or otherwise.0 -
Not had time to think this through but my immediate answer is that garden leave is notice and therefore no more monies would be due ie you don't get garden leave and notice.
Someone with a sensible head on will be along soon to confirm or otherwise.
Nope, firms normally give garden leave in place of notice.
They still pay you, but you don't need to attend work - but your officially still "working". This would seem to tie in with your leaving date. Firms tend to do this for their own benefit.
I would pursue it further, and if they refuse to pay out - there is always the small claims court as last resort. Try to keep it as cordial as possible, for references etc.This is a system account and does not represent a real person. To contact the Forum Team email forumteam@moneysavingexpert.com0 -
he was paid his redundancy, holiday pay and notice pay of one week for each year he has been there.
I'm with cazziebo you shouldn't get both pay in lieu of notice & go on gardening leave. He should either get:
1 weeks notice per year of service & turns up for work as usual or
1 weeks notice per year of service & doesn't have to turn up but gets paid as normal but can't work for a competitor (Gardening Leave) or
No notice but but 1 weeks pay per year of notice (Payment in lieu of notice - PILON)
The numbers above are the statutory minimums & could be increased depending on his contract0 -
I'm with cazziebo you shouldn't get both pay in lieu of notice & go on gardening leave. He should either get:
1 weeks notice per year of service & turns up for work as usual or
1 weeks notice per year of service & doesn't have to turn up but gets paid as normal but can't work for a competitor (Gardening Leave) or
No notice but but 1 weeks pay per year of notice (Payment in lieu of notice - PILON)
The numbers above are the statutory minimums & could be increased depending on his contract
Hi, in real terms he has got the no notice but 1 weeks per per year of notice- PILON. But either way, he is entitled to a 30 day consultation period, and the company told the local authorities that the first redundancy would take place on the 29th October. However, that is not the case, as he was told to leave on garden leave on the 17th October. And from the 17th October- 29th October he was not paid.:snow_laug0 -
I've checked it out and I was right.
Garden leave is notice and the employee is still under contract of employment until garden leave expires - in this case 29th October. So the consultation period is correct. He does not leave the employ of the company until that day, so that is the effective date of dismissal.
From this date his payment is in lieu of notice (PILON) and therefore he is paid instead of having to work the notice period.
all done correctly, no case to pursue.0 -
I've checked it out and I was right.
Garden leave is notice and the employee is still under contract of employment until garden leave expires - in this case 29th October. So the consultation period is correct. He does not leave the employ of the company until that day, so that is the effective date of dismissal.
From this date his payment is in lieu of notice (PILON) and therefore he is paid instead of having to work the notice period.
all done correctly, no case to pursue.
Hi, thanks for looking into this for me. I still dont understand how the company can get away with not paying him for a week and a half thou? Garden leave is payable and full benifits apply during that time according to everything I can find including his actual contract. - but he was not paid. I still dont understand how there is no case? If he is under contract of employment, then why is that without pay?:snow_laug0 -
As I understand it, gardening leave has to be paid as you are still employed.
I'd phone the government helpline and get advice, then follow it up. £400 is £400.:cool: DFW Nerd Club member 023...DFD 9.2.2007 :cool::heartpuls married 21 6 08 :A Angel babies' birth dates 3.10.08 * 4.3.11 * 11.11.11 * 17.3.12 * 2.7.12 :heart2: My live baby's birth date 22 7 09 :heart2: I'm due another baby at the end of July 2014! :j
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Garden leave is notice! He is being paid one week's pay for every year of service - as notice. He is being paid.
Just as, if he was attending work, he would be working his notice - same pay.
He hasn't lost out at all.0 -
Garden leave is notice! He is being paid one week's pay for every year of service - as notice. He is being paid.
Just as, if he was attending work, he would be working his notice - same pay.
He hasn't lost out at all.
I dont agree. The original plans, and the information submitted to the government was that the first redundancy would take place on the 29th October. If he had left on that day- he would still have received the same money he has for redandancy- he has that in black and white. But he has lost out on £400 because they made him finish on the 17th October.:snow_laug0 -
What does his contract say? Does it dsay it can impose unpaid gardening leave? Because maybe then they could do that. But otehrwise, if they wrote to him saying his employment ended on the 29th then he should be paid till the 29th.:cool: DFW Nerd Club member 023...DFD 9.2.2007 :cool::heartpuls married 21 6 08 :A Angel babies' birth dates 3.10.08 * 4.3.11 * 11.11.11 * 17.3.12 * 2.7.12 :heart2: My live baby's birth date 22 7 09 :heart2: I'm due another baby at the end of July 2014! :j
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