Redundancy on closure.

shezza2

Hi all, The shop where my wife works looks as though it may close.
They have many bills outstanding to suppliers.
If it does close and the company owes money will the workers get redundancy payment. The company has two more branches that are doing well one is about 40 odd miles away and the other is about 240 miles away, so moving to another branch is not an option.

General_Grant

shezza2 wrote: »

Hi all, The shop where my wife works looks as though it may close.
They have many bills outstanding to suppliers.
If it does close and the company owes money will the workers get redundancy payment. The company has two more branches that are doing well one is about 40 odd miles away and the other is about 240 miles away, so moving to another branch is not an option.

If the company overall continues to trade, all workers at a closed shop who have at least two years' service at the time their employment is terminated will be eligible for payment of statutory redundancy pay by the company (and any addition mandated by their individual contracts but it is likely that it will be statutory only).

If the employing company was insolvent there is a state scheme which would pay out.