Redundancy during Maternity Leave, Tax and Holiday Questions

Googlewhacker

mariefab wrote: »

Agreed.
But it's not in mine and it may not be in the OPs.

Always worth checking!

SarEl

Googlewhacker wrote: »

Always worth checking!

Yes it may be - although I would be amazed if it wasn't somewhere! Like policy. Remember, the statement and the handbook aren't the be all and end all of a contract. There is also policy and every leave policy I have ever seen incorporates a reference of entitlement to accrued leave and discretion about leave in advance.

But I am still more interested in whether this is a lawful redundancy!

megadrive2

mariefab wrote: »

Is there a clause in your contract of employment (or similar document) stating that overtaken holiday will be deducted on termination?

If so, they may be allowed to make the deduction. It depends on the wording of the clause.

If not, no they cannot. It would be an unlawful for them to do so.

I have checked my contract and unfortunately there is a clause stating they can take the holiday back.

My 2 weeks overtaken holiday is the same as amount as the Redundancy pay i was entitled to so effectively I will receive nothing.
So i lose out here.:(


I think it's completely unfair for SMP to be taxable once you become redundant as you essentially are no longer employed. Should it not become subject to the same rules as Maternity allowance which is Tax and NI free? Another case of those who work ending up worse off than those who do not? Oh well looks like I loose out here also.:mad:


The situation surrounding my redundancy was even more complicated, let me explain.

I was part of a department which included myself, my partner, and another employee. The company decided to make two out of the three of us redundant, supposedly based on, experience, qualifications, attendance etc. Whomever received the best results stayed. Now obviously for the fact that both myself and my partner were at risk it would be stupid for both of us to compete for the one position, (especially as his wage was higher than mine). So i opted out of the selection process, (i was given only 4 days to make this decision from finding out about the redundancy). The other member of our department had been on probation as they had not been attending work for various reasons, (without being specific the company had been trying to find a way to sack them for months).

They explained that they needed to keep one member of the department on, in order to communicate with overseas staff which would be taking over most of the workload. The whole thing seemed like a bit of an engineered pantomime. As they needed work from the remaining staff member immediately their choice was either someone highly skilled reliable and qualified, a woman just embarking on maternity leave for a full year or a serial skiver.

Suffice to say my partner is safe, but incredibly angry at the way i and indeed he has been treated.

The company has also made 8 other redundancies across the whole business.

By the way, baby was due last Wednesday, (day i received my redundancy confirmation).

I'm now overdue, angry and stressed, to top it all off in two days a midwife will be trying to wake up this lazy baby with two fingers and a litre of Vaseline!:eek:

And that’s just the beginning Phew!

SarEl

Damn. You should have taken advice earlier. In opting out you have let them off the hook. Their choice was not between your partner, a woman going off on maternity leave and a serial skiver. It would have been nigh on impossible for them to make you redundant, and if, as you suggest, they absolutely had to keep someone with immediately available expertise on (your partner) they would have had to find you a commensurate job to the one you were already in, to return to. But you have effectively volunteered for redundancy which means you lost your rights to return to your job when you did that. Sorry, but I can't see a way around it as they didn't force you to make that choice.

[Deleted User]

SarEl wrote: »

I am more interested in the actual redundancy - has the employer closed for business or what? Because it is very hard to make a woman on maternity leave redundant - she has a guaranteed right to return to her job and it really is hard to get around this legally.

Is not its very easy. She doesn`t return to her job because her job is redundant.

[Deleted User]

ladybirdintheuk wrote: »

Just one other thing you should be checking if you've not done so already - you will be entitled to any other benefits for the duration of your maternity period (I have heard of companies having to hire a car for employess on maternity pay because they are entitled to a company car until the end of their maternity leave, even though the company has gone under and other employees have had their cars taken back).

This includes holiday, which you continue to accrue to the end of your maternity leave, so I'm not sure it is correct for them to be able to deduct any holiday from you (unless the holiday year extends to beyond the end of your maternity leave? I'm not sure that would be possible if you've only been off for 4 weeks?)

It may be worth taking some advice from citizens advice or ACAs on Monday about this part.

What a think to have to go through 4 weeks into your leave though Is baby here now, or are you still waiting?

Sorry but once your contract ends you are NOT entitled to the above.

You are knowlonger employee of the company and your not entitled to any benefits e.g holiday pay etc. You can double check with ACAS. The same thing has happened to my G/F. It look like a common thing.

"I think it's completely unfair for SMP to be taxable once you become redundant as you essentially are no longer employed."

Its not "essentially" your no longer employed. YOUR ARE NO LONGER EMPLOYED. SMP is paid by HMRC via your ex-employer.

Good Luck on your new baby.

SarEl

[quote=[Deleted User];34447415]Is not its very easy. She doesn`t return to her job because her job is redundant.[/QUOTE]

What is your problem here? I am sorry if this happened to your G/F, but that isn't a good reason to take it out on the OP here. The LAW says that a woman on maternity leave is guaranteed the right to return to her original job, or if that is not possible, to a comparable job. This means that it is almost impossible to make a woman on maternity leave redundant fairly, unless she volunteers for it.

[Deleted User]

SarEl wrote: »

What is your problem here? I am sorry if this happened to your G/F, but that isn't a good reason to take it out on the OP here. The LAW says that a woman on maternity leave is guaranteed the right to return to her original job, or if that is not possible, to a comparable job. This means that it is almost impossible to make a woman on maternity leave redundant fairly, unless she volunteers for it.

Your the one with the problem.

"The LAW says that a woman on maternity leave is guaranteed the right to return to her original job,"

Totally agreed 100% but her role has been made redunant, so there is no job for her to go back too. The role is REDUNANT, there is no job.

Her employment contract with the company ends!!!!! She is still paid SMP for 39 weeks.

Check with CAB, ACAS and a solictor. I have and a company can legally do this(ITS TOTALLY WRONG I KNOW).

Pregnancy can not be the reason for selection for redundancy this would be automatic unfair.

You need to sort your chip and then check the facts.

one_bill_at_a_time

Hi Megadrive2,

Cutting around the arguing above which isn't really helpful... You're in a really horrible situation just at a time when you should be enjoying your new baby.

Might you and your partner be eligible for additional tax credits now you have a reduced income? Could be worth looking into before they dissapear forever.

mikey72

She could have insisted on going back, so they would have made her husband redundant, kept him on on a short term contract until the op went back at the end of her maternity leave, then let him go.
Is that really a better result?