Advice on Redundancy

jackit

I started working for a company on 1st Nov 2001. I earn £38k pa.
They have just announced that they will be looking for volunteers for redundancy. Can someone please tell me how much the minimum payment I could expect is and how much notice they will either need to give or pay me for and do I get paid the notice at my normally rate of pay.

WeakHeart

Hi jackit. You should find all the information that you need on the Acas website or directgov website. Its worth checking your contract too as you may find that notice periods are longer than statutory requirements and you may find more information about your company's policy on redundancy in there or a company handbook if they have one. They may be offering enhanced terms so ask your HR department.

getmore4less

Start date Nov 2001 so 8 full years sevice.

Minumum Notice is 8 weeks or contractual if longer. Full pay and benifits.

Minimum redundancy is £380*8 = £3040 or a bit more if over 41 or a bit less if very young


Wait for the enhanced package they are offering then come back and people can comment on how good it is.

jackit

No enhanced package - just the bare minimum. My DOB is 28/10/1966. So I was 43 last October.

The offer is eight weeks pay £5846.51 (taxable) and £3420 statuatory redundancy pay (non taxable).

First we heard was at a company announcement this morning. Then each given a letter with our own terms. They want to know by Wednesday next week.

There is also a clause which says 'Please note that by applying for voluntary redundancy you are not guaranteed you will be offered it.'

All advise welcome.

getmore4less

Looks right. 2years at 1.5weeks per year so an extra £380

Is PILON in your contact or given normaly if not you might be able to get this tax free.

Any holiday pay due?
You count the date you would leave if you worked your notice.

So do you want to leave?

Since this is what you would get anyway no need to volunteer if you don't want to.

Remember if the company is in real trouble it can be a lot harder to get paid if last out under administration

HO87

PILON = Pay In Lieu Of Notice

jackit

Thanks for that. Nothing about PILON in contract. What would I need to ask to get that tax free too?

Not sure what to do - thinking of volunteering as I am hoping to move abroad later this year. There is not a good atmosphere in the office - hasnt been for some time now so it can bed quite stressfull.

However from the chats today Im now not sure they will give it even if I do volunteer as I am only person in my work who does my role and it will still need to be done.

It feels like they know who they want to go but they are asking for volunteers to see if those people ask. If not there will be a selection process where people apply for their own positions.

jackit

Our company has 12 people (which includes 3 directors and 1 HR person). From the remaining 8 people 2 are to be made redundant.
The first we were told was Friday 26th Feb. They have asked for volunteers and we have to respond by tomorrow (Wednesday 3rd March). They have said they will give us an update on Friday 5th March. Can someone tell me the minimum consultation period and so the first date they can effectively make anyone redundant?

Uncertain

jackit wrote: »

Thanks for that. Nothing about PILON in contract. What would I need to ask to get that tax free too?

PILON is never tax free - sorry.

It is only the compensation you receive for the loss of your job that is, up to £30K.

jackit

I decided to volunteer - was quite an emotional time but decided that was the best way to go forward for me.

If they agree I can go is there a legal minimum time after going before I could work for them on an ad hoc contract basis?