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Redundancy Payment Due?
SkyWatcher_3
Posts: 77 Forumite
Posting this query for a relative who isn't keen on forums.
Relative retired from her job (at 60) and then, after a gap of a couple of weeks, went back on a short term contract. The contract was extended and extended until just over two years passed. There were no gaps in the employment. She then decided to give up work altogether. She didn't hand in any notice and the contract was just allowed to expire, after which she left.
Prior to the decision to leave I did point her to this page: http://www.direct.gov.uk/en/Employment/Understandingyourworkstatus/Fixedtermworkers/DG_175138
From reading this page I understand that:
"If you are on a fixed-term contract, generally no notice of the contract reaching its end date will need to be given by the employer. However, failing to renew a fixed-term contract is considered to be a dismissal. You have the right...
Now I know that she wan't given a statement of reasons for dismissal and although she contacted the HR team they have told her she is not entitled to anything. It's a big public sector employer so they should presumably know what they are doing. Am I missing something here? Surely they can't quibble the statutory redundancy payment is due?
Relative retired from her job (at 60) and then, after a gap of a couple of weeks, went back on a short term contract. The contract was extended and extended until just over two years passed. There were no gaps in the employment. She then decided to give up work altogether. She didn't hand in any notice and the contract was just allowed to expire, after which she left.
Prior to the decision to leave I did point her to this page: http://www.direct.gov.uk/en/Employment/Understandingyourworkstatus/Fixedtermworkers/DG_175138
From reading this page I understand that:
"If you are on a fixed-term contract, generally no notice of the contract reaching its end date will need to be given by the employer. However, failing to renew a fixed-term contract is considered to be a dismissal. You have the right...
- to a written statement of reasons for the dismissal (after one year’s service)
- to statutory redundancy payments (after two years' service)
Now I know that she wan't given a statement of reasons for dismissal and although she contacted the HR team they have told her she is not entitled to anything. It's a big public sector employer so they should presumably know what they are doing. Am I missing something here? Surely they can't quibble the statutory redundancy payment is due?
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Comments
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The same page also states:
"If you have been employed for one month or longer, then you must give your employer the statutory minimum notice of one week. If your contract states that you should give a longer notice period than the statutory minimum, then you have to give your employer this length of service."
As your relative did not give notice she is also in breach of contract. Quite where this leaves the whole thing I have no idea, but I suspect 'in a mess' is a good guess.0 -
This is very vague, did she go back the same job and defer her pension until the end of the contract, so actually just deferring her retirement? I think this one needs a legal advisor.0
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This is very vague, did she go back the same job and defer her pension until the end of the contract, so actually just deferring her retirement? I think this one needs a legal advisor.
Thanks for the reply. She took her pension and went back part-time in another role. There was a gap between her original employment ending and her new one starting. It's a tricky one.0 -
Her first job is irrelevant, she retired and left it. Full stop.
If she left the next job when the contract expired why do you/her expect any redundancy payment, if she left her job, she left. She no longer worked there so I dont understand the query, unless Im missing something here.make the most of it, we are only here for the weekend.
and we will never, ever return.0 -
Her first job is irrelevant, she retired and left it. Full stop.
If she left the next job when the contract expired why do you/her expect any redundancy payment, if she left her job, she left. She no longer worked there so I dont understand the query, unless Im missing something here.
Yes, I think you are missing something. Read my first post and the link and you should be up to speed.0 -
Yes, she is entitled to statutory redundancy pay as it states on the directgov site. There's no need for the employee to give notice unless they are resigning, which is not what's happened here (if employee resigns then of course no redundancy payment is due). She should ask for the redundancy payment and, if it's not forthcoming, she can take her former employer to an employment tribunal to get it. It might also be unfair dismissal, so that's worth bearing in mind.0
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SkyWatcher wrote: »Yes, I think you are missing something. Read my first post and the link and you should be up to speed.
Niot necessarily - your post is infinitely unclear!
(a) your quote from the site may be correct - in which case the site is imcorrect (as I often observe, potted law is rubbish law - the law is infinitely more complex than a couple of lines on a webite). If she was dismissed then she is entitled to ask for written reason after one years service. It isn't an automatic entitlement - you must ask for the reason.
(b) It is not entirely clear that she was made redundant. If she allowed the contract to expire (she decided to give up work altogether) then this could be a resignation. Nowhere does it say that she was not offered another contract or other work, and if she had indicated that she did not wish to be consdiered for further work, then she resigned.0
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