I'm confused about what's going on! HELP! Notice period or not???

Superly_Vince

I was advised of my redundancy on 2nd July.

The procedure for the company keys are handed over immedately and I would clear my desk that day. My boss didn't agree with that as he thought I deserved better for working their for so long (8 years), He said I could hand over keys when I was ready and work through my month's notice period by popping in whenever I could (the guy I work for personally is on holiday for a fortnight so it's quite for me anyway).

On friday I went in to the office to check up on things as well as sort out my computer, I received a letter making reference to discussions on 2nd July along with the following

• June's pay slip (Which I didn't get as I was on holiday)
• a cheque for my redundacy pay (which was quite generous exceeding statutory pay!)
• A cheque for three months pay which was verbally refered to as 'gardening leave. This also included 11 days holiday pay (pay slip dated 07/07/10 with tax and NI deducted accordingly)
• P45 with leaving date stated as 07/07/10

I also handed over my keys.

What I'm confused about is the following

three month's pay - is this my wages for July? as well as payment for August and September??? or is the three month's pay seperate from the notice period pay

also

I anticipated the leaving date to be 31st July as we agreed one months notice??? why is my P45 and 3 month payslip dated 07/07/10 if I agreed to work until the end of the month?

Have I jeaposided my position in some way? are they keen to get rid of me by asking me to hand over my keys? this is confusing to me as I've stated on my application forms as well as with recruitment agencies that I'm working through a notice period.

Please advise.

Superly_Vince

Something which has come to mind, since my P45 is dated 07/07/10 am I able to start a new job if it requires an immediate start?

I can't sleep at the moment, so many questions going through my head!

Edit

I've just dug out my contract which I signed in 2002 it states:-

The minimum length of notice to terminate your employment that you are are required to give The Company and the Company is required to give you is as follows:-

After 3 years service 12 weeks notice.

So it would appear that I've been let go immediately and paid according.

I still need to know if I can take a new job if it requires an immediate start though!

Ewarwoowar2

You situation is slightly confusing.

Notice can be paid 'in lieu', which means that they just give you the cash equivalent and your contract of employment is immediately terminated.

Alternatively, you can be asked to work your notice on gardening leave i.e. you are still employed by the company during your notice period, you just don't have to physically go to work.

Say you are given notice on 7 July and want to take up a new job on 10 July. If the notice had been paid in lieu, you are free to take the new job, as your previous job was terminated on 7 July. If you had been placed on gardening leave on 7 July, you would not be free to take the new job until your notice period finished.

If I were you, I'd rely on the date in the P45 as evidence that your employment ended on 7 July and you've been paid your notice in lieu. This would mean that you are now free to take another job.

In all honesty, as an employment solicitor, I've never heard of an employer suing for notice pay back from an employee they've made redundant.

Superly_Vince

Thank you so much for your help. My boss advised there has never been any redundancies during his time with the company, which exceeds two decades. The place I worked for was small and quite informal, I'll take it that no one really knew how to deliver the news in a clear and direct manner. The meeting was relaxed, no one else was present, I was able to negociate my package within reason. The letter doesn't state 'in lieu of notice' but I guess that's what the pay cheque is

If I were you, I'd rely on the date in the P45 as evidence that your employment ended on 7 July and you've been paid your notice in lieu. This would mean that you are now free to take another job.

In all honesty, as an employment solicitor, I've never heard of an employer suing for notice pay back from an employee they've made redundant.

I'm inclined to go with this. I have all my formal documents, the desk and computer has been cleared and they've been a bit ho hum about me actually being present in the office AND there's actually nothing to do. I think that's it!

getmore4less

Looks to me like they have terminated you on the 7th.

Sign on for contributions JSA.

Get another job.


Now are you happy with the money and process of selection?

LittleVoice

Superly_Vince wrote: »

• June's pay slip (Which I didn't get as I was on holiday)
• a cheque for my redundacy pay (which was quite generous exceeding statutory pay!)
• A cheque for three months pay which was verbally refered to as 'gardening leave. This also included 11 days holiday pay (pay slip dated 07/07/10 with tax and NI deducted accordingly)
• P45 with leaving date stated as 07/07/10

Ithree month's pay - is this my wages for July? as well as payment for August and September??? or is the three month's pay seperate from the notice period pay

Were the 11 days holiday accrued but not taken up to 7 July or accrued up to the end of your 3 months' notice?

You appear to have received pay in lieu of notice (PILON) and they have taxed it. If they have not made anyone else redundant in a very long time and there is nothing in your contract about them being able to pay PILON, then the PILON is not contractual and therefore should not have been taxed if this severance pay was less than the ceiling for tax-free payments.

Superly_Vince

getmore4less wrote: »

Looks to me like they have terminated you on the 7th.

Sign on for contributions JSA.

Get another job.


Now are you happy with the money and process of selection?

Yip, it would appear that they have. I won't be going back in until after tomorrow... I still have two jackets to pick up (don't ask lol!)

I'll be making a phone call concerning JSL tomorrow, I really was under the impression I had until the end of the month! I need to call the bank again concerning my loan...

I also need to call the all the recruitment agencies as I've been advising them I'm currently working through a notice period!

I'm happy with the money, yes. My redundancy payment it some 60% over the statutory amount I believe. With regard to the selection process, I can't argue... things have been changing the past 18 months. The Director I work for doesn't do as much work as the CE. The CE has his own PA and even then there's not enough for her to do sometimes... she's been there the longest, twice as long as me actually.

LittleVoice wrote: »

Were the 11 days holiday accrued but not taken up to 7 July or accrued up to the end of your 3 months' notice?

I honestly have no idea. but at the meeting my boss said he'd call head office to ask how many days off I had for the end of the year. I've just comeback from 6 days off from 24/06 returning back to work 02/07 and I've had days off prior to that (long weekends, days off for policing etc) I'd say I've had just under a fortnight of holidays already since the begining of the year.

LittleVoice wrote: »

You appear to have received pay in lieu of notice (PILON) and they have taxed it. If they have not made anyone else redundant in a very long time and there is nothing in your contract about them being able to pay PILON, then the PILON is not contractual and therefore should not have been taxed if this severance pay was less than the ceiling for tax-free payments

I can confirm my contract does not make reference to paying anyone PILON at all. I only have this:-

RIGHT TO NOTICE AND TERMINATION OF EMPLOYMENT
The minimum length of notice to terminate your employment that you are are required to give The Company and the Company is required to give you is as follows:-
Under 13 weeks of service - nil
. etc
. etc
. etc
. etc
After 3 years service 12 weeks notice.

There really isn't anything within my Contract which takes redundancy in to account or make reference to in event of redundancy.

I'm the only one being made redundant in the office I work in which employs 4 people. As for the head office down south I don't know if anyone has been made redundant. I don't really know if it's my business lol!

The money I'll get for the redundancy has NOT been taxed. The 3 months wages + 11 days holidays has been taxed....has somthing gone wrong here?