Notice period

steve695

Hi there,

As I've been at my company for over 8 years if I get made redundant I'm entitled to receive 8 weeks notice pay plus a redundancy payment.

If the company goes bust I know that the government pay the redundancy money but my question is - do the government also pay the notice pay that you are owed due to long service?

For me this is the important because my company only ever pays the minimum amount of redundancy pay so the notice pay would be a lot more.

Thanks,
Steve

Numpty_Monkey

From what happened to me a few years ago so things could've changed,
yes the government pays PILON, but deduct tax/NI
and any payments was then worked out on your basic pay(no bonus/overtime/comission)

I hope I'm wrong and they have changed all that

McKneff

You would be entitled to 8 weeks redundancy pay and 8 weeks notice pay.
You would pay tax and NI on your notice pay but not on your redundancy payment so your redundancy pay would in fact be more.

Not sure about the government paying notice pay if the company goes bust though

steve695

Thanks for the reply Numpty.

I don't mind paying the tax and NI as long as I get somthing for the 8 weeks service!

BlueIsTheColour

Yeah the redundancy payments service will pay notice pay and any holiday pay thats due, but only if the company do officially go into liquidation, and aren't just saying they can't afford it...

You need an RP1 form which if the company goes bust whilst you are there, the receiver/administrator should give it to you

LittleVoice

And I think the maximum weekly sum is £350, not the actual weekly wage.

steve695

And I think the maximum weekly sum is £350, not the actual weekly wage.

Is this true? I know the redundancy pay has a cap of £350 but does the PILON also have a cap when the company is insolvent?