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Pilon

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My consultation period ends mid May and at the moment employer has said PILON applies - couldn't care less, pay me 6 weeks money for nothing instead of making me work my notice.

1) If I worked my notice period I would accrue a further 2.58 days annual leave. Am I correct in thinking they must pay me this as well (or give me the time off before consultation ends).

2) Must they continue to pretend to look for redeployment opportunities until such time as I would ordinarily be leaving (end June), sending any possible suitable vacancies to my home address, or can they stop immediately mid May.

3) How is PILON paid, does an employer continue to pay as if I were there working, or is it in 1 lump on the nearest payday after they let me go without working notice (they aren't bust, work has been cut).

:beer:

Comments

  • getmore4less
    getmore4less Posts: 46,882 Forumite
    Part of the Furniture 10,000 Posts Name Dropper I've helped Parliament
    PILON is usualy paid as part of the termination payment.

    Many companies pay this through next payroll run, sometimes in the last normal one(so it gets paid a bit early) if you finish end of normal pay period. Some by seperate payment.

    I think holiday should acrue.

    Once terminated no need for them to do anything more allthough outplacement support if any should continue.

    Make sure they don't include any clawback clauses if you are re employed by the company/group.
  • anamenottaken
    anamenottaken Posts: 4,198 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    I think holiday should acrue.

    I agree that it should accrue. However employers can say when holiday is taken (provided they give appropriate notice) and therefore they could say that the holiday would be taken in the notice period which they are paying.

    So I would not expect the holiday to be allowed to be taken prior to leaving nor for an additional payment to be made.
  • Advocatus
    Advocatus Posts: 66 Forumite
    Strictly speaking, you are due all your contractual payments and your holiday pay is one of them.

    PLIONS are usually paid as part of a compromise agreemend (which may also include a severance payment). If it is a comp ag. then it's a lump sum.

    However, PILONS can also be paid without a compromise agreement, where the employer simply tells you to stay at home and confirms that you will continue to be paid as you always were, continue to have the same rights, etc as if you were at work. If not a comp ag situation, you will be paid as you normally are.



    Lastly, an empoyer has the duty to consult but that obligation does not extend to the very last minute. As long as they have carried out a legal consultation and in the cases of collective consultations, not terminated employment during the consultation period, it's usually alright.
    I am qualified lawyer, but nothing I post here should be construed as legal advice. I am simply trying to point people in the right direction as opposed to giving them accurate legal advice.

    If you think I've been helpful, hit the "Thanks" button!
  • getmore4less
    getmore4less Posts: 46,882 Forumite
    Part of the Furniture 10,000 Posts Name Dropper I've helped Parliament
    edited 28 April 2010 at 6:46AM
    Advocatus wrote: »
    Strictly speaking, you are due all your contractual payments and your holiday pay is one of them.

    PLIONS are usually paid as part of a compromise agreemend (which may also include a severance payment). If it is a comp ag. then it's a lump sum.

    However, PILONS can also be paid without a compromise agreement, where the employer simply tells you to stay at home and confirms that you will continue to be paid as you always were, continue to have the same rights, etc as if you were at work. If not a comp ag situation, you will be paid as you normally are.


    Lastly, an empoyer has the duty to consult but that obligation does not extend to the very last minute. As long as they have carried out a legal consultation and in the cases of collective consultations, not terminated employment during the consultation period, it's usually alright.


    PILON can be paid as part of a normal redundancy and your contract terminates without you working or being under contract.

    What you describe is "garden leave" which is something different since you remain under contract for your full notice.

    Compromise agreements are used where the employer wants you to sign away your rights to make any future claims.
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