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Hello
I have just found out that my company may be taken over by another company and myself and one other person will be tuped over to the new company, however I will go from a straight salaried position to one that is based on commissions from work done only, also the company car will be taken away, the new company is about another half hour on my journey time, since this is a change to my existing contract are they able to make those changes legally


Appreciate any feedback
Thanks
«1

Comments

  • sangie595
    sangie595 Posts: 6,092 Forumite
    edited 14 November 2016 at 8:20PM
    What do you mean you just found out? Who told your that your terms would change like this?

    The answer to your question isn't at all straight forward. Technically, the answer is no, they can't make these changes, at least initially. The fact is, however, that it isn't hard to make very large changes very quickly. But accurate advice requires accurate facts, and without those, it's hard to be able to tell you a lot more.

    The additional travel time almost certainly isn't going to be an issue the law is concerned about. The rest might be. But your only real outcome is likely to be redundancy. is that an outcome your are prepared for?

    I forgot to ask how long you have worked there.
  • Fireflyaway
    Fireflyaway Posts: 2,766 Forumite
    Fifth Anniversary 1,000 Posts
    It might not be great but you still have a job and so all is not lost. If you can't accept the changes look for another job. I know its not easy but it can be done. Sometimes redundancy or being bought out prompts you to make changes for the better.
  • sangie595
    sangie595 Posts: 6,092 Forumite
    It might not be great but you still have a job and so all is not lost. If you can't accept the changes look for another job. I know its not easy but it can be done. Sometimes redundancy or being bought out prompts you to make changes for the better.
    Not great? No wage is "not great"? That has to be the understatement of the year.
  • Hi,


    Thanks for the replies so far, to answer your questions I have been employed by the company for 31 years, its a medium size manufacturing company and up to now I have been on a salary of £35K PA, there is to be no redundancy as all our employment rights are being transferred to the new company however we are going from a straight salary to commission only, if I based my new salary on my sales for this year alone it would provide an income of £19,200 PA gross, assuming that income tax at 20% and NI at approx. 8% that would net me approx. £1200 a month a drop of about £1000 a month, also I'm to lose the company car, its only a Focus but its better than nothing, at the moment I use the car to travel to work and park in the car park, the new firms location will make this impossible to do, I will have travel expenses of about £360 a month, I do have a contract at the moment that lays out my current salary and other entitlements such as the car holidays etc. so my concern is that is this change in contract legal or do they have to by law pay me redundancy due to the change of contract and the format of how I'm paid, I appreciate that some will say that I still have a job but the commission structure and the nature of the work and hours during the day will make it impossible for me to earn at max capacity more than £20K a year based on the 5% commission I will get, advice please on the legal aspect of this, also sadly that after 30+ years there was no gratitude, thank you or anything, left me a little cold to be honest
  • kazwookie
    kazwookie Posts: 14,249 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    I suggest you find an employment lawyer and have a free 1/2 hour with them to check your rights etc
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  • sangie595
    sangie595 Posts: 6,092 Forumite
    Based on what you say, get a lawyer fast. This is entirely unlawful. Your terms cannot be changed in this way, and you may have a claim against both employers.
  • TBagpuss
    TBagpuss Posts: 11,236 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    If you work for them uner the ne terms then you will be deemed to have accepted them.

    How have you heard about the new terms? Have you been sent a new contract? Is it possiblethat they are not as bad as you think?

    If you don't agree, then it won't necessarily be a redundancy situation.

    There are a number of possibilities:

    1. You are redundant, but have ben offerd a suitable alternarive position. If you feel that the aleternative position is not suitable, then you would need to make that clear. You will need advice as whether or not you would then be entitled to any redunancy would depend on whether it was acceoted that the alternative role was not suitable.

    2. The company has been sold or taken over. In that case, TUPE rather than redundancy is likely to apply. You would have to agree to any changes to your cotnract but should get some advice about whether doing so is likely to be reasonable and do be aware that gpoing to work can mena you are deemed to have accepted the new terms.

    Are you a member of a union? Do you have any legal cover throuh which you could get some initial advice?
    All posts are my personal opinion, not formal advice Always get proper, professional advice (particularly about anything legal!)
  • sangie595
    sangie595 Posts: 6,092 Forumite
    TBagpuss wrote: »
    If you work for them uner the ne terms then you will be deemed to have accepted them.

    How have you heard about the new terms? Have you been sent a new contract? Is it possiblethat they are not as bad as you think?

    If you don't agree, then it won't necessarily be a redundancy situation.

    There are a number of possibilities:

    1. You are redundant, but have ben offerd a suitable alternarive position. If you feel that the aleternative position is not suitable, then you would need to make that clear. You will need advice as whether or not you would then be entitled to any redunancy would depend on whether it was acceoted that the alternative role was not suitable.

    2. The company has been sold or taken over. In that case, TUPE rather than redundancy is likely to apply. You would have to agree to any changes to your cotnract but should get some advice about whether doing so is likely to be reasonable and do be aware that gpoing to work can mena you are deemed to have accepted the new terms.

    Are you a member of a union? Do you have any legal cover throuh which you could get some initial advice?

    Apart from the first line, I'm afraid I disagree. There is no way, in either scenario you lay out, that an unsalaried role at half the income at best is ever going to be a suitable alternative. The OP has already said this is a TUPE so I assume they know this to be a fact since they have already said there will be no redundancy. It is unlawful to change the terms during or before a TUPE for after a TUPE - terms are protected at the point of transfer, and such a huge change would never be acceptable. The OP must take immediate legal advice, since both employers are legally liable for the conduct of the transfer.
  • Thanks everyone for the replies, so from this is it right to say to change from a salaried position to one of just commission is illegal?


    The contract I have at the moment has to be the same if we are being TUPED over, is that correct? the company is closing down and a new one is being created from the clients of the old company, we're moving in with another manufacturing company who make the same products as us and we will share the building plus utilise their systems for ordering and despatch of the products, they are charging us a small fee for this which will cover all our utility costs, phones etc.
  • sangie595
    sangie595 Posts: 6,092 Forumite
    When you transfer your entire contractual terms transfer with you. It is not impossible to change terms after a transfer, but it MUST be negotiated and agreed. The terms they are offering you are way too far a stretch to be a reasonable alternative, and even then, this would have to be a redundancy situation. They can attempt to con you, but whether they do is entirely up to you. Get a lawyer now.
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