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IVA and redundancy payment
My company have been making redundancy and I took up there offer as chances are I would likely be made redundant anyway and thought going early would be the better option.
I discussed this with my IVA supervisor and was told I could keep 6 months worth of earnings, the redundancy offer was lower than 6 months so I accepted the offer.
I have sent a statement to my supervisor of the redundancy breakdown and they are now saying they are going to take quite a large chunk.
The redundancy is broken down into redundancy, accrued leave, 2 months notice period and car allowance. The IVA supervisor has stated that all bar the redundancy amount is classed as additional earning and they will take a percentage. How can this be? If I had known I would have probably not taken redundancy and I would have taken my annual leave at the very least. Surely if any lump sum is bellow 6 months I am entitled to keep it. I was hoping to be able to retrain or maybe even pay off my IVA early with help from family members.
Can anyone advise, thanks
I discussed this with my IVA supervisor and was told I could keep 6 months worth of earnings, the redundancy offer was lower than 6 months so I accepted the offer.
I have sent a statement to my supervisor of the redundancy breakdown and they are now saying they are going to take quite a large chunk.
The redundancy is broken down into redundancy, accrued leave, 2 months notice period and car allowance. The IVA supervisor has stated that all bar the redundancy amount is classed as additional earning and they will take a percentage. How can this be? If I had known I would have probably not taken redundancy and I would have taken my annual leave at the very least. Surely if any lump sum is bellow 6 months I am entitled to keep it. I was hoping to be able to retrain or maybe even pay off my IVA early with help from family members.
Can anyone advise, thanks
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Comments
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Yes that is correct, and is covered in the terms and conditions of the arrangement you agreed to.Under the terms of your IVA, you’re able to keep six months worth of your regular take-home pay from any redundancy settlement received.This only applies to redundancy money, not notice period, or annual leave pay.How do you intend to meet your IVA commitments if your not in work ?
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There may be some additional flexibility
https://debtcamel.co.uk/coronavirus-iva-need-payment-break/#Flexibility_around_redundancy_pay
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Why don't you approach your supervisor about proposing a full and final settlement from the redundancy?0
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