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Could lose my job within 48 hours

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  • Moonflowers
    Moonflowers Posts: 187 Forumite
    Part of the Furniture 100 Posts Combo Breaker
    I get 12 weeks pay I lieu which I understand is taxable, so from your answer, that means there will also be paying NI for me as well?

    I then get a redundancy payment of 12.5 weeks which is tax free, so assume no NI during this period?

    I've not received any payment yet, other than my usual salary to the date the employment ended & which was paid on our normal pay day. I was told the rest would be paid within a few days so I guess I need to follow up on that as it's now been over a week. I haven't got a P45 either.

    I don't want to register as unemployed & I don't think I will be entitled to any payment anyway whilst on garden leave. Is that correct?
    :dance:
  • Moonflowers
    Moonflowers Posts: 187 Forumite
    Part of the Furniture 100 Posts Combo Breaker
    Maestro - I worked in marketing & they decided that the directors could do some of my job & that the "menial" tasks would be given to my assistants, so I think they have covered their backs on that one to.
    :dance:
  • kiddy_guy
    kiddy_guy Posts: 987 Forumite
    Part of the Furniture 500 Posts
    But then by implication the job still exists, albeit other people are doing it?

    If the job still exists, then this isn't redundancy - it's a cost cutting exercise or forcing you out the company.

    I would argue that unless you've taken VR, it sounds procedurally wrong, and very much like unfair dismissal. I suspect you could take them to an ETR and wipe the floor.

    If your job has been given to other people why were you not in a pool of others?
  • kiddy_guy wrote: »
    But then by implication the job still exists, albeit other people are doing it?

    If the job still exists, then this isn't redundancy - it's a cost cutting exercise or forcing you out the company.

    I would argue that unless you've taken VR, it sounds procedurally wrong, and very much like unfair dismissal. I suspect you could take them to an ETR and wipe the floor.

    If your job has been given to other people why were you not in a pool of others?
    It is cost cutting but its valid to move someones job to other people and it can be redundancy.

    Whether as you say it was procedually correct it looks iffy.

    Also not all redundancys require pooling
    Don't trust a forum for advice. Get proper paid advice. Any advice given should always be checked
  • Maestro.
    Maestro. Posts: 1,518 Forumite
    Maestro - I worked in marketing & they decided that the directors could do some of my job & that the "menial" tasks would be given to my assistants, so I think they have covered their backs on that one to.

    I suspect they are spinning you a yarn. It is also my experience that a director won't willingly take on tasks that a "lower eschalon" has been doing - they just palm it off on someone else or, as I suspect will happen here, hire someone else new and willing, possibly at a lower pay, with a slightly different job title.

    Call me suspect but I've seen it before, with me own eyes.
    Oh, you wee bazza!
  • I get 12 weeks pay I lieu which I understand is taxable, so from your answer, that means there will also be paying NI for me as well?

    I then get a redundancy payment of 12.5 weeks which is tax free, so assume no NI during this period?

    I've not received any payment yet, other than my usual salary to the date the employment ended & which was paid on our normal pay day. I was told the rest would be paid within a few days so I guess I need to follow up on that as it's now been over a week. I haven't got a P45 either.

    I don't want to register as unemployed & I don't think I will be entitled to any payment anyway whilst on garden leave. Is that correct?

    What is your last day of employment?

    If your last day is in 12 weeks time then you are on gardening leave.

    If your last day was, a week ago and they are paying your notice in a lump sum then you are not on gardening leave as your employment has ended. This is PILON - Pay in Lieu of Notice

    If you were working your notice, even on gardening leave this would certainly be taxable.

    But l'll assume that you are not working and you are being paid a lump sum (PILON). I'll also assume that your redundancy is less than the maximum tax free amount of £30K.

    Your employer has told you this will be taxed. Well.......

    In certain situations your notice lump sum (PILON) can be paid tax free. If you are below the £30K ceiling then this is what you should be pushing for.

    See here for details
    http://www.hmrc.gov.uk/manuals/eimanual/EIM12976.htm

    So very worthwhile looking in any contract you have (see list in link as a starter) to see if PILON is mentioned. If not you may be able to claim the tax/NI back or request your employer to pay tax free.

    Then have a chat to your local tax office to get some advice/help.

    Please note that I am an HR Professional with fairly good Payroll knowledge but I do not pretend to be a legal or tax specialist.
  • zzzLazyDaisy
    zzzLazyDaisy Posts: 12,497 Forumite
    Part of the Furniture Combo Breaker
    Maestro - I worked in marketing & they decided that the directors could do some of my job & that the "menial" tasks would be given to my assistants, so I think they have covered their backs on that one to.

    Just for the sake of clarity - where a role has ceased to exist because the work previously carried out in that role has been absorbed into the jobs of other existing employees, this falls within the definition of redundancy.
    I'm a retired employment solicitor. Hopefully some of my comments might be useful, but they are only my opinion and not intended as legal advice.
  • melb
    melb Posts: 2,886 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    When you were called to your first meeting you should have been informed of your right to representation at the meeting - either by your union or some other person. Sounds like constructive dismissal to me and I would be doing whatever I can to get some form of compensation for the shoddy treatment after 12 years of service
  • tgon
    tgon Posts: 710 Forumite
    Part of the Furniture 500 Posts Combo Breaker Mortgage-free Glee!
    melb wrote: »
    When you were called to your first meeting you should have been informed of your right to representation at the meeting - either by your union or some other person. Sounds like constructive dismissal to me and I would be doing whatever I can to get some form of compensation for the shoddy treatment after 12 years of service

    ... but in my experience, its very difficult to attract the attention of potential new employers when you're taking your last one through a legal tribunal. Just sayin...
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