redundancy on reduced wages.

R.j.Belcher

I am currently on furlough but me employer is asking us to take a temporary pay cut when we return. To add to this is the threat of redundancies. Our team has been halved over the last five years and we have felt that we will lose another person this summer anyway. So question is if I say yes to reduced pay (10-20%) and then get made redundant will my redundancy pay be based on the reduced pay or my normal pay. This will have a big impact on my decision to take the pay cut or not.

thanks
Rob

sharpe106

If you do accept it then get it in writing and when there will be a review date. Reply in writing that you only accept it temporary so that it not shown as a sign that you are accepting it permanently. If the pay cut is only temporary and in writing then redundancy should be based on your normal salary. No reason why you can’t get that in writing too.  If it goes on for a year or so then it gets a bit more difficult.