Protective Award

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Further to my thread - locked out of Company.... I keep reading about Protective Award when the company/administrators do not provide enough notice when making 20 or more redundant, Could some one enlighten me on his please .... all replies greatfully recieved ...

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  • Johno100
    Johno100 Posts: 5,259 Forumite
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    Well is your employer going into Administration or Liquidation? And how many employees are there at your place of employment (not the whole company just where you work)?
  • gor01
    gor01 Posts: 16 Forumite
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    A creditor (who happens to be the landlord) has appointed the Administrators. A small company with just over 20 employees who all operated from the same premisies. I believe the company will be liquidated still awaiting form rp1 from the administrators.
  • superbigal36
    superbigal36 Posts: 734 Forumite
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    edited 31 March 2015 at 12:42PM
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    I really can't fully remember the details.
    But yes an administrator may well lay you off "illegally" to keep the business going.
    I took them to a tribunal (Was free back then) as it is a cut and dried case.
    The tribunal judge awareded me (and extended to all other affected employees) the full protective award.
    It is then that the government has to also pick up this bill as the original employer will be potless.
    It has maximum allowed payouts as opposed to what you would get if anyone could pay the protective award.
    The government can only pay up to 8 weeks wages (Capped £464 a week) including the protective award.
    In my case i had previously received 3 weeks wages via the RP1 so the tribunal got me another 5 weeks.
    This meant payouts for a number of employees who never expected.
    As the majority including myself ended up working for a new owner eventually they were all aware of my actions and particularly thankfull.
    I am still going through all the bottles of booze in thanks over 5 years later.

    https://www.gov.uk/your-rights-if-your-employer-is-insolvent/claiming-money-owed-to-you

    https://www.gov.uk/staff-redundant/redundancy-consultations
  • gor01
    gor01 Posts: 16 Forumite
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    Thank you Superbigal36,
    The links you provided which was where I first saw protective awards. We have had no consultation whatsoever either from my previous employers or the administrators. All I have received was a text message from former boss (4 days after being locked out of the building) saying they are meeting with insolvency practitioners the next day and it is best if we look for another job, Only 3 of us received this text message it soon went round word of mouth. 4 working days later a creditor had instructed the administrators and they were in the building. The same week we should have been paid but no salary went into the bank. All we have heard is that the Insolvency practitioner will be issuing RP1 and RP2 forms (still waiting). As you can see we have had no consultation.
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