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Redundancy & notice pay help

Pennyk_2
Posts: 2 Newbie
Hello,
This is my first MSE post and I would really appreciate some assistance.
In short, I am newly married and we returned home from our honeymoon last week to find that the building company where my husband had worked for 15 years had entered into a voluntary liquidation and he had no job to return to! :shocked: We have completed and sent off the RP1 form and we calculate that he should be due that statutory maximum of £430 (which isn't taxable?) for 12 weeks given his length of service and age.
However, I am less sure on the position of notice pay. The workers were not given any notice at all. Again, I think my husband should be due 12 weeks notice pay (no maximum limit but it is taxable?) and we should receive the RP2 form after his notice period is over, ie. 12 weeks after the announcement of the liquidation.
My query is, if my husband is to register as self employed and begins working for himself, will this affect the notice pay he will be due? He is not going to claim JSA as he doesn't want to bother having to apply for jobs when he has work planned in the upcoming weeks and he is just organising paperwork and getting materials and a van etc. I anticipate that he will not work for approximately 4 weeks, given being away on honeymoon and a couple of weeks at home getting organised to set up his own business. Will he only be able to apply for 4 weeks notice pay or will be still be eligible for 12 weeks notice pay?
I have read up a lot on this but I'm afraid I'm still confused. I would appreciate some guidance if anyone can advise.
Many thanks,
Penny
This is my first MSE post and I would really appreciate some assistance.
In short, I am newly married and we returned home from our honeymoon last week to find that the building company where my husband had worked for 15 years had entered into a voluntary liquidation and he had no job to return to! :shocked: We have completed and sent off the RP1 form and we calculate that he should be due that statutory maximum of £430 (which isn't taxable?) for 12 weeks given his length of service and age.
However, I am less sure on the position of notice pay. The workers were not given any notice at all. Again, I think my husband should be due 12 weeks notice pay (no maximum limit but it is taxable?) and we should receive the RP2 form after his notice period is over, ie. 12 weeks after the announcement of the liquidation.
My query is, if my husband is to register as self employed and begins working for himself, will this affect the notice pay he will be due? He is not going to claim JSA as he doesn't want to bother having to apply for jobs when he has work planned in the upcoming weeks and he is just organising paperwork and getting materials and a van etc. I anticipate that he will not work for approximately 4 weeks, given being away on honeymoon and a couple of weeks at home getting organised to set up his own business. Will he only be able to apply for 4 weeks notice pay or will be still be eligible for 12 weeks notice pay?
I have read up a lot on this but I'm afraid I'm still confused. I would appreciate some guidance if anyone can advise.
Many thanks,
Penny
0
Comments
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Read http://webarchive.nationalarchives.gov.uk/+/http://www.insolvency.gov.uk/pdfs/guidanceleafletspdf/guideforemployees.pdf. Hubby has a duty to minimise his losses when it comes to loss of notice compensation.This is a system account and does not represent a real person. To contact the Forum Team email forumteam@moneysavingexpert.com0
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For redundancyh pay He is entitled to 1 weeks pay for each full year he has worked at the company, capped at £430 per week, as redundancy pay, 1.5 weeks per full year if over 41 years of age.
He will only get £430 per week if he earned this normally per week or more.
Notice pay. He is entitled to 1 weeks pay for each full year worked up to a maximum of 12 weeks
Any accrued holiday pay.make the most of it, we are only here for the weekend.
and we will never, ever return.0 -
Thank you both for your helpful responses. The redundancy guide made interesting reading. I had anticipated that once he started working for himself the notice pay would stop but from what I understand from reading the guidance notes, his usual weekly pay will be held as claimable. Thus, if he doesn't sign on but say only earns £200 in one week, he can claim for the difference between his usual pay and what he actually earned. This is good news as it means in his first few weeks of working for himself we are still guaranteed his usual income.
Many thanks again,
Penny0 -
The RPO will send you another form to fill out after 12 weeks - as you said - the RP2. Your hubby will have to give details of any money earned and benefits on the form.
I'd fill in the form honestly and see what payment you receive.I am an employment solicitor. However, my views should not be taken to be legal advice. It's difficult to give correct opinion based on the information given by posters.0
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