Notice Period and Years Of Service

GreenSaints

Hi all,

I was wondering if someone could help me please.

We are going through the redundancy procedures at the moment and we have just finished collective consultations. The senior management team are having their individual consultations before the rest of the staff have their's. The earliest Iwould iimagine those would start is a week today.

The reason for my message is, I started with my company on 27th July, so I would like this to drag out as long as possible to get another years service and the another week of pay.

From what I have read online, if I'm going to be made redundant I have to be given 5 weeks (one for each year of complete service) Does that mean if I'm on notice and it goes past the 27th July I will be classed as working another year or not?

Hopefully that makes sense

Thank you in advance

marlot

Having just been through this...

The company decides what is your last day of service. They can either make you redundant immediately and pay you in lieu of notice, or they can essentially have you continue working, and be redundant at the end of that. But they set the final date and you have no say in it at all.

I wanted to stretch mine out for a further three weeks and wasn't able to.

GreenSaints

Hi,

Thanks for your reply.

From the sounds of it, we are going to be made to work our notice. What I would like to know is, if I get made redundant on the 22nd June, 5 weeks after that is my start date so does that means I can get another years service?

marlot

No, I believe it is strictly by the redundancy date.

getmore4less

The date used for service for redundancy is the termination date or the date that you would have been terminated IF you worked your full statutory notice from the date of notice.

So if you get full PILON you add one week per year(based on the date of notice).

If you started on the 27 July and have 5 years you need to be given notice on or after 21June.( some may argue by a day on when notice starts and what means a years service)

GreenSaints

Great, thanks. That's what I wanted to hear

needmore75

Hi there, hopefully I've posted it in the right thread, I am a bit rusty on MSE.

I have been made redundant and my employer has to give me two months notice. My start date was the 29th August 2006. We are going to be given our notice on the 8th July 2013 with view for us to leave 31st July 2013 with PILON. (pay up until the 8th September) I'm not very familiar with how this works. Would the PILON give me the 7th year of service giving me one more year of statuory redundancy pay or not? I know that you do not accrue holidays in this time but unsure about years of service rule. Any help hugely appreciated. I've googled this to death!!

LittleVoice

needmore75 wrote: »

Hi there, hopefully I've posted it in the right thread, I am a bit rusty on MSE.

I have been made redundant and my employer has to give me two months notice. My start date was the 29th August 2006. We are going to be given our notice on the 8th July 2013 with view for us to leave 31st July 2013 with PILON. (pay up until the 8th September) I'm not very familiar with how this works. Would the PILON give me the 7th year of service giving me one more year of statuory redundancy pay or not? I know that you do not accrue holidays in this time but unsure about years of service rule. Any help hugely appreciated. I've googled this to death!!

With a start date of 29 August 2006 and notice being served on Saturday 8 July, your statutory entitlement is for 6 weeks' notice (ie having completed 6 years' service at the point the notice is given). (Your two months' contractual notice/PILON is not important here when calculating statutory redundancy pay.)

With a termination date of 31 July, your statutory notice period would only extend to Monday, 19 August inclusive. So not enough to add another year to your service for the redundancy payment.

If your notice is given one week later than you envisage (even if you still finish on 31 July), you would be deemed to have completed 7 years' service as far as statutory redundancy payment is concerned.

needmore75

Thanks so much Litte Voice.:beer:

So the statutory applies even though the contractual would give me 2 months notice. OH NO! That's disappointing! I hope my employers didn't cotton on to this/or as a measure of goodwill round it up! We shall see.. They are rather brutal but even though I'll be £450 worse off, I will still be out of here!

Appreciate that info a lot. I hopefully receive my compromise agreement this afternoon. I will let you know which way they play it.

LittleVoice

needmore75 wrote: »

Thanks so much Litte Voice.:beer:

So the statutory applies even though the contractual would give me 2 months notice. OH NO! That's disappointing! I hope my employers didn't cotton on to this/or as a measure of goodwill round it up! We shall see.. They are rather brutal but even though I'll be £450 worse off, I will still be out of here!

Appreciate that info a lot. I hopefully receive my compromise agreement this afternoon. I will let you know which way they play it.

Your contractual notice doesn't affect the statutory scheme payment but at least it means your PILON is two weeks longer.

PILON is meant to be compensation. In my view compensation should also take into account that if you receive proper full notice you would accrue holiday up to the time that that notice would expire.

However do check whether you are receiving real pay in lieu of notice - that is that you are receiving a payment and not full notice rather than that you are receiving full notice but simply not being required to be at work for the final weeks.

blubam

I'm returning to work next month after a period of maternity leave and I've been informed that due to restructure my job no longer exists. I have been in the company for over 20 years but I still have one year left on my fixed term contract. Should I expect to be paid for this final year as well as the standard redundancy package?

Any advice would be appreciated