Employer trying to change my notice period for redundancy payment, advice pls??!! 16 July 2020 at 9:58PM in Redundancy & redundancy planning 4 replies 291 views

simone82

I have been employed since 2013 but unfortunately have now been made redundant.  In December 2019 I signed a new contract as I was promoted.  In this contract it states the following at the beginning “Under the Employment Rights Act your period of continuous employment commenced on the date you join the company, namely 5th November 2013.  This will remain the same even if you start a new position within the company”

It goes on with the other clauses eg salary, hours, holiday entitlement etc....

We then get to the part which states “Ending Employment” in which it states;

”Periods of notice

In your first year you will receive, or have to give, one month’s notice to end your employment.  After that you will have to give three months notice if you want to leave and in return the company will give you three months notice......”

I have queries this with my HR and the response I have received is “ I can confirm you signed a new contract in December 2019 which states that in your first year your notice period is one month”

Is this correct, as it is my understanding that I have been employed continuously for 7 years and should receive the three months notice?

sharpe106

As you have been employed for 7 years you should get 7 weeks notice minimum legally. 

The new contract does not change your years of service, the notice period they could argue over although most companies would not think a change of job makes a difference to notice period. You could try contact citizen advice or ACAS for more advice if you want to challenge them over it. 

simone82

@sharpe106 thank you.

Its more to do with the payment in lieu of notice which as I've been there for 7 years should be an additional 3 months pay!  What they are trying to say is that as I started a new internal role in January I am only in the first year! But as my contract states this is continuous employment so I should be entitled to the enhanced payment in lieu amount, I hope that makes sense?

Undervalued

Is this redundancy in any way voluntary / enhanced?
If it is then the terms, both for notice and compensation are whatever you and the employer mutually agree. Technically there is no such thing as voluntary redundancy, despite it being a commonly used term!

If the redundancy is genuine / forced then you are entitled to the greater of your statutory notice (seven weeks in your case) or whatever is contractually agreed (you say three months) plus redundancy pay according the government's formula. If there is a dispute you would need to come up with some evidence that you had a contractual entitlement to more than the statutory notice.

Masomnia

I'd say unless your contract/letter you got with the new role is clear that your notice entitlement resets with your new role you'll be due 3 months. If not 7 weeks. But I think in the absence of anything clearly to the contrary then it should be 3 months. 

If they refuse it's a case of arguing it out in ACAS conciliation to start with.