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Redundancy questions

My wife has been told today the pre-school she works for is closing down at the end on the month (26th October).

She has worked there for the past 8 years, so isn't been given the full 8 weeks notice, so first question is do they have to still pay her the 8 weeks notice in wages?

Secondly she has also been told that there probably won't be any money to pay her redundancy package, the school does have some assets to sell off but this is complicated by the way the school is government funded and not all can be sold off, and the school has told her that she may or may not get paid the package once the assets are sold. Can they do this?

As you can guess this is quite a shock and we are looking to talk to some one at either a CAB or ACAS but this will take time, so really just looking to see where we stand before talking to them.


PC
DMP mutual support thread member:388

Comments

  • pleasedelete
    pleasedelete Posts: 2,291 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    Being government funded through nursery grant does not mean that assets can't be sold. The pre school should have retained enough in the bank to pay redundancy- interestingly the LA usually check on that as part of their business support packages- did the committee take advice from the LA.

    I would call the childcare team at the LA and get them involved (if not already). The risk with committee run settings is tat thy start to all take items for themselves? Has the group been paid the autumn grant by the LA yet? If so they may owe some back?

    If they are part of the PLA they may have a claim on assets - if they are they contact them as well for advice.

    Finally could your wife take over running the provision or set up a new one (better) with the same children in the same premises?
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  • getmore4less
    getmore4less Posts: 46,882 Forumite
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    does the pre school have charity status, the trustees could be personaly liable.
  • Being government funded through nursery grant does not mean that assets can't be sold. The pre school should have retained enough in the bank to pay redundancy- interestingly the LA usually check on that as part of their business support packages- did the committee take advice from the LA.

    I would call the childcare team at the LA and get them involved (if not already). The risk with committee run settings is tat thy start to all take items for themselves? Has the group been paid the autumn grant by the LA yet? If so they may owe some back?

    If they are part of the PLA they may have a claim on assets - if they are they contact them as well for advice.

    Finally could your wife take over running the provision or set up a new one (better) with the same children in the same premises?

    The workers have been told there isn't enough to run the school and also not enough to pay redundancy, although before summer break there were funds.

    As for advise the committee have had someone from pla in.

    Someone was intersted in taking the school over but it seem as a lot of obstacles were put in their way and they finally decided enough as enough and pull out.

    As for the grants, I don't know I would have ask my wife.
    does the pre school have charity status, the trustees could be personaly liable.

    Yes, the committee have said the they are liable,


    Personally I think the school is a goner, and just want to make sure my wife receives what she is intitled to.

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    DMP mutual support thread member:388
  • If your wife is made redundant, she should receive her notice pay which is generally a week for every year she has worked for the company to a max of 12 weeks. In addition she should receive any outstanding annual leave for this period and her redundancy pay. Depending on the company they have have their own internal redundancy policy, however, if you go to directive.co.uk and search for the redundancy calculator it will work out what she is entitled to statutory.
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