Made redundant, then asked to stay

Threadhead

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kiddy_guy

Well the question would be whether it would constitute continued service or not. If the boss changed his mind in 2 weeks, would she get the 1/2 redundancy back?

If the job still exists though, why let her take redundancy would be the obvious question to the boss, even on reduced hours!?

spongebob69

I think if she continues to work then make sure she gets in writing that her service continues otherwise they could make her redundant again and they will not have to pay much out due to her working for less than two years.

Not to sure about the giving money back part but try dti.gov.uk for info on redundancy payments and rights

RobertoMoir

I don't get why she's handing back half the money.

Surely she's either making a new start - being hired once again - in which case the job is redundant... or she's staying in the job, no new start and her service continues as it was (in which case, she's not redundant and keeping half the money is generous I suppose?). I'd say this needs to be clarified.

getmore4less

Was there any mention of claw back on re employment in the redundancy offer?

The issue is that as a new hire on lower wage any future redundancy would not cover the mising 1/2 if she was made redundant again.

There will also be a potential issue with the tax if HMRC decide this compenation is not due to redundancy.

Also check the redundancy included 8 weeks pay, 8 weeks notice or PILON and nused holiday?

To break continuity there needs to be a weeks break in employment so if she just carried on that would not be a break.

Be worth checking, but an option to consider might be reduced hours, continutiy of emplment with a compensation payment for reduced hours.

This would keep the service for future redundancy.

ceridwen

Sounds odd to me...waiting till the VERY last minute like that before offering her revised terms.

In her place - I'd keep my redundancy and presents and look for another job if she needs one. As she's only asking for part-time work anyway - then hopefully it wouldnt be too much of a problem to find one (depending on what she does of course.....).

Personally - I'd be suspicious that they were just trying to get some of my redundancy money back from me...(maybe their budget changed and they decided they couldnt afford to pay so much redundancy after all and some bright spark decided "I know - we'll take her back on again for a few weeks to grab some of that redundancy money back - and then make her redundant again"). I'd be working out the maths to see how long it would be before I'd received that handed-back redundancy money as "salary" and cynically estimating that the job would last exactly that long....and I would have worked for them for free for those weeks.

Threadhead

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se999

Worth trying to check out the tax side too of whatever she choses. As the first £30k of redundancy money is tax free. But with what they're offering would it be?

zzzLazyDaisy

I suggest that she speaks to ACAS about this, just so she understands what her position is, as this sounds very strange.

Put simply - if she leaves and gets her P45, and then goes back to work straight away with no break (or a break of less than a week) then she has not in fact been made redundant, and her length of service continues. But in that case she wouldn't be entitled to redundancy pay.

If she leaves and is away from her employment for one week including two saturdays, then she would start again as a completely new employee with no rights until she has worked there for at least 12 months (two years for redundancy pay). In that scenario she is entitled to keep all her redundancy pay.

I cannot see any justification for the proposal that she goes back as a new employee with no rights but hands back half her redundancy pay. As someone else has said, what if they make her redundant again six months later - she will be entitled to nothing and to no comeback.

If it was me, I'd keep the money (it was voluntary redundancy after all, so she must have wanted to leave) and I'd look for another job.

mardatha

Be very careful, they might start her back then finish her after a few weeks. She will get nothing & they will get to keep half or her redundancy money.

mark55man

it may just be the manager being a bit dim, and trying to do something that seems fair - but as the other posters have pointed out your mum will seriously jeapordise future rights, and may well antagonise others.

unless she is absolutley petrified of not finding a job elsewhere I would advise her to take the money and run.