PILON Question please help.

martyn1990

Hi , Really need help,
 I am in the process of being made redundant for big UK retailer.
They are paying PILON , only on my contracted hours of 38 hour per week. I've done overtime since i've started in the company.
Rota's would be done 12 weeks in advance with overtime already included in my scheduled hours, of work. Also never defined as Overtime on a pay slip.
Should PILON be average of hours?
or Contracted hours?
Thanks Martyn 

JReacher1

It’s payment in lieu of notice and your contractual notice is based on 38 hours a week. I don’t think they’ll have to pay you more than this. 

Sorry to hear about your redundancy 

Undervalued

martyn1990 said:

Hi , Really need help,
 I am in the process of being made redundant for big UK retailer.
They are paying PILON , only on my contracted hours of 38 hour per week. I've done overtime since i've started in the company.
Rota's would be done 12 weeks in advance with overtime already included in my scheduled hours, of work. Also never defined as Overtime on a pay slip.
Should PILON be average of hours?
or Contracted hours?
Thanks Martyn 

Were you free (in theory at least) to opt out of doing overtime and tell them you didn't want to be rostered for it on the next rota? If so then the PILON is correct. If however the "overtime" was compulsory, you might be able to argue that your contracted hours had changed to be longer than 38.

Keep in mind that they could insist you work your notice rather than pay PILON. Also, are they paying the statutory minimum redundancy or is it in any way enhanced?

martyn1990

Undervalued said:

martyn1990 said:

Hi , Really need help,
 I am in the process of being made redundant for big UK retailer.
They are paying PILON , only on my contracted hours of 38 hour per week. I've done overtime since i've started in the company.
Rota's would be done 12 weeks in advance with overtime already included in my scheduled hours, of work. Also never defined as Overtime on a pay slip.
Should PILON be average of hours?
or Contracted hours?
Thanks Martyn 

Were you free (in theory at least) to opt out of doing overtime and tell them you didn't want to be rostered for it on the next rota? If so then the PILON is correct. If however the "overtime" was compulsory, you might be able to argue that your contracted hours had changed to be longer than 38.

Keep in mind that they could insist you work your notice rather than pay PILON. Also, are they paying the statutory minimum redundancy or is it in any way enhanced?

Thanks for the response, i suppose you could say it was compulsory as the shop wouldn't have opened if i didn't work the extra hours , at the same time, someone else from another store could have covered it (I've always worked over, so it was always presumed i'd work as many as that they could give me) sometimes working 55+hours never going below 42 hours. I would be happy to work the notice as the scheduled hours would have been more than the contracted (there would be schedules showing more)  , but all stores closed from the 5th April without prior warning, not allowing this to happen.
Redundancy has been enhanced at x 1.75
They stated PILON is non-negotiable so id have to go ACAS to recover the money, (if i have grounds to ) i'm losing out of about £1000
Thanks Martyn

Undervalued

martyn1990 said:

Undervalued said:

martyn1990 said:

Hi , Really need help,
 I am in the process of being made redundant for big UK retailer.
They are paying PILON , only on my contracted hours of 38 hour per week. I've done overtime since i've started in the company.
Rota's would be done 12 weeks in advance with overtime already included in my scheduled hours, of work. Also never defined as Overtime on a pay slip.
Should PILON be average of hours?
or Contracted hours?
Thanks Martyn 

Were you free (in theory at least) to opt out of doing overtime and tell them you didn't want to be rostered for it on the next rota? If so then the PILON is correct. If however the "overtime" was compulsory, you might be able to argue that your contracted hours had changed to be longer than 38.

Keep in mind that they could insist you work your notice rather than pay PILON. Also, are they paying the statutory minimum redundancy or is it in any way enhanced?

Thanks for the response, i suppose you could say it was compulsory as the shop wouldn't have opened if i didn't work the extra hours , at the same time, someone else from another store could have covered it (I've always worked over, so it was always presumed i'd work as many as that they could give me) sometimes working 55+hours never going below 42 hours. I would be happy to work the notice as the scheduled hours would have been more than the contracted (there would be schedules showing more)  , but all stores closed from the 5th April without prior warning, not allowing this to happen.
Redundancy has been enhanced at x 1.75
They stated PILON is non-negotiable so id have to go ACAS to recover the money, (if i have grounds to ) i'm losing out of about £1000
Thanks Martyn

If they are paying more than the legal minimum then I assume a settlement has been agreed? If so then you have probably agreed to the "whole package" as set out. 

That said there is no harm in asking.......

Hootie100

I am so confused about this PILON
I am being made redundant and my last day is 17th July. I have been required to work my notice period of 7 weeks (thanks a bunch!) but was quoted a PILON figure during the last 'consultation' and my question is will I receive it along with the redundancy payment and holiday pay owed or is already being paid because I'm still working? If I'm still working then there's no 'in lieu' happening? Or am I being greedy/dense?
Thanks for any help. At 58 it is a struggle to find another job and I could really do with the bit extra if possible

lincroft1710

Hootie100 said:

I am so confused about this PILON
I am being made redundant and my last day is 17th July. I have been required to work my notice period of 7 weeks (thanks a bunch!) but was quoted a PILON figure during the last 'consultation' and my question is will I receive it along with the redundancy payment and holiday pay owed or is already being paid because I'm still working? If I'm still working then there's no 'in lieu' happening? Or am I being greedy/dense?
Thanks for any help. At 58 it is a struggle to find another job and I could really do with the bit extra if possible

PILON - Pay In Lieu Of Notice, in other words, instead of working your notice you are given a sum of money and you cease employment immediately. So if you work your notice you don't get PILON. You should get redundancy and payment for any untaken holiday, although a prudent employer should have made you take this holiday during your notice period

Hootie100

Thanks for your reply. Why the word PILON was used during the skype meetings seems bizarre and is what caused my confusion as it was presented to me as an 'addition' to redundancy. Oh well, welcome to (or in my case, from) the 21st century employer    

LittleVoice

Hootie100 said:

Thanks for your reply. Why the word PILON was used during the skype meetings seems bizarre and is what caused my confusion as it was presented to me as an 'addition' to redundancy. Oh well, welcome to (or in my case, from) the 21st century employer    

Perhaps they don't know what they are talking about.

blue.peter

lincroft1710 said:

...although a prudent employer should have made you take this holiday during your notice period

Hmmm. If by "prudent" you mean "mean", then maybe.

Not all employers do this. I've twice been given garden leave for my notice period pending redundancy. I wasn't asked to take my owed holiday during my notice periods - and I wasn't even working through them! On both occasions, I was given quite large payments in respect of the owed holiday. There's no way that the large and experienced HR departments wouldn't have known what was happening - they had to process the payments. These were both fairly large household name companies.

lincroft1710

blue.peter said:

lincroft1710 said:

...although a prudent employer should have made you take this holiday during your notice period

Hmmm. If by "prudent" you mean "mean", then maybe.

No, I do mean "prudent".

It is incumbent upon employers to save money wherever possible, especially when there is an economic crisis like the one we are currently experiencing. Many businesses are losing/will lose money, there is no point in paying out money if you don't have to.