Can Coronavirus be used as "some other substantial reason" for dismissing me?

SA4848

I have worked for my employers for 20 years.  I was recently told that they were terminating my employment and that I was not entitled to a redundancy payment due to "some other substantial reason".  They stated that as a result of the pandemic income had decreased dramatically and was unlikely to recover until 2021 at the earliest. They have stated that my dismissal is due to a business re-organisation and that therefore is not a redundancy.  Surely this cannot be right.

sharpe106

It is the job that is made redundant originally not the person. So therefore as the job no longer exists the job holder is then made redundant if they are not moved to another job.

Jeremy535897

SA4848 said:

I have worked for my employers for 20 years.  I was recently told that they were terminating my employment and that I was not entitled to a redundancy payment due to "some other substantial reason".  They stated that as a result of the pandemic income had decreased dramatically and was unlikely to recover until 2021 at the earliest. They have stated that my dismissal is due to a business re-organisation and that therefore is not a redundancy.  Surely this cannot be right.

If this were a legitimate way to avoid paying redundancy, every employer would do it. First look at what your contract of employment says about redundancy pay and notice. If you are only entitled to statutory redundancy, see https://www.gov.uk/redundancy-your-rights It is worth reading all the sections.

Depending on your age, you could be eligible for up to 30 weeks redundancy pay capped at £538 a week. You will also be entitled to 12 weeks notice. The link sets out the details.

If they persist in denying that they should pay you redundancy, the next step is to contact ACAS: https://www.acas.org.uk/contact

Galloglass

Were you offered another job prior?

https://www.xperthr.co.uk/faq/what-does-dismissal-for-some-other-substantial-reason-mean/155831/

SA4848

Thank you for your advice.  I have checked both my contract of employment and office manual and there is no mention at all of a redundancy procedure, just the procedure for dismissal for misconduct.  The email terminating my employment came completely out of the blue with no consultation nor was I given any right to appeal.  My former employers have stressed that it was nothing that I had done wrong and had it not been for this unusual situation they would not be dismissing me.

Grumpy_chap

From what you say, likely an unfair dismissal.  I am not an expert.

Has the company just got zero funds and going out of business?  Gone into administration?  I think that changes the rules in some way.  (Government administration scheme I think.)

Otherwise, you are due the money as Jeremy said.

SA4848

Galloglass said:

Were you offered another job prior?

No I was not offered another job at all.  I was furloughed for a month and I was expecting this to continue and then without any warning my employment was terminated.

SA4848

Grumpy_chap said:

From what you say, likely an unfair dismissal.  I am not an expert.

Has the company just got zero funds and going out of business?  Gone into administration?  I think that changes the rules in some way.  (Government administration scheme I think.)

Otherwise, you are due the money as Jeremy said.

The company has not gone into administration so I cannot apply to the Government for any redundancy pay.  They are just like many others at the moment who's income had decreased rapidly but they are not in a position that they will go out of business as far as I am aware.

Jeremy535897

Coronavirus is not a reason to dismiss long serving employees without redundancy. If it were, there would be millions of dismissals by now. I suggest you look at the links in my earlier post. You may have to threaten them with an action for unfair dismissal.

sharpe106

As Jeremy says you need to contact ACAS and access professional advice. They can’t just say your job ends by an email and that is that. For redundancy pay it does not matter why the job was made redundant you are still entitled to it. You might also have a claim for unfair dismissal, as you had not consultation, was not informed, not offered anything else, there might be others doing similar jobs so why were you chosen etc.

SA4848

Thank you all very much for your advice, it is very much appreciated.  I will contact ACAS now and see what they say.