Voluntary Redundancy or Pay Cut

simonmufc

Do i accept an offer of Voluntary Redundancy at £17000 or stay within the same company in a new role but with a salary cut of £7000 per year.

My partner works full time and we have a mortgage of less than £50000.

Ive got until next the end of the month to make a decision, any advice would be greatly appreciated, as I cant make my mind up.

Thanks

ceridwen

Well - as you state you have a partner - as I understand it you would get benefit for only 6 months and then precisely nothing. Well - thats putting the position very simplistically - without specific reference to your particular circumstances....

Put like that - £17k wouldnt go very far at all and wouldnt make much of a dent in terms of paying back your mortgage.

Guess it all depends on your chances of finding another job and just what level of income you would be on after that £7k paycut.

Not an easy situation - hope things work out for you...

Can only say that I would be inclined personally to not take the redundancy and to stay put fighting the paycut - whilst looking for another job. But thats me - we all vary...you might look at things from a very different viewpoint...

twiki

It depends on what you are on at the moment.
Bear in mind that the £17k redundo is tax free and equates to about £20k salary

Also, it depends on your chances on getting a new job in the current climate.

Also on whether you are prepared to take a massive cut and all that entails or be prepared to be redundant and all that entails.

I know it's a bit late now but it's worth getting redundancy protection on your mortgage

Twiki

CFC

i think we cannot really advise as we do not understand your full circumstances. It depends on

your chances of finding another job
your current annual salary
how much your partner earns
your outgoings

without having a handle of any of that, we cannot even say what we personally would do in that situation.

getmore4less

Since you are under consultation and they are offering an enhanced redundancy first thing I would do is ask for this to be protected at the higher rate if you took the lower paid job so if they make you redundant later you still get it.
Also ask what other positions there are if you have exhausted the options that keep your current position.

Is that £17k all redundancy or is some PILON.


More info needed
how many years service
whats your income
whats your outgoings
Any other income
Do you want to stay
how easy is it to get another job
can you live on one salary
etc.