Help on fighting for statutory rights

lastking

Hello, I need a little bit of help. I have been given one week consultancy period (only person being made redundant role no longer exisits) so not much time to find out all the facts. Offered statutory redundancy tax free as worked there 5 years (I had to advise them the weekly cap went up! now corrected). The only option they have given me is my contractual 3 months notice paid as lieu of notice without pension, holiday etc up front at end of one week consultation period but taxable as they say this is earnings and then my employment ceases on 28th Feb. They have confimred there is no clause in my contract for payment in lieu of notice so I understand this should be classed as damages and free of tax. They are stonewalling me and rushing me into a decision. What do you think I should do?. The difference between Gross and Net makes a massive difference but I am running out of time before their imposed deadline. To walk away quickly would be my preferred option but believe this is a breach in contract. Getting half-hour's free legal advice tomorrow but any help would be much appreciated. Thanks very much

getmore4less

PILON can be paid NET, even if tax/NI free(the company gets to keep it).

Holiday that accrues during notice can be considered to be included in any PILON payment.

LittleVoice

They still need to calculate the gross amount correctly.

The statutory redundancy pay can be put to one side, separate from the calculation of the PILON.

They have to include the one month's notice pay (so that would run from the time they give you notice, arguably whatever date last week you were told your employment would be terminating).

Paid holiday accrued (and which would have been accrued during your notice period) but not yet taken, has to be paid for, just as it would at the effective point of any termination. That's because the PILON is compensation for not getting what would have been received if proper notice had been given.

getmore4less

LittleVoice wrote: »

They still need to calculate the gross amount correctly.

The statutory redundancy pay can be put to one side, separate from the calculation of the PILON.

They have to include the one month's notice pay (so that would run from the time they give you notice, arguably whatever date last week you were told your employment would be terminating).

Paid holiday accrued (and which would have been accrued during your notice period) but not yet taken, has to be paid for, just as it would at the effective point of any termination. That's because the PILON is compensation for not getting what would have been received if proper notice had been given.

Holiday accrued during notice does not have to be paid as an extra payment.

The compensation is for the pay you would have recieved if you had worked the notice, it is ALLWAYS possible for an employer to make you take the holiday that accrues during notice in the notice period so there is nothing to compensate other the the notice.

As I said above that payment can be paid at the net the employee would have got.

lastking

Thanks little voice. I will keep fighting and let you know the outcome.