Full time salary changing to commission only to avoid redundancy

Hervness

Hi, I’m hoping for some advice please…  I’m in fulltime employment (in sales) but am currently on furlough.  As my employer has very little income he has discussed redundancy with me but also offered an alternative plan for me to consider… that as of November, I work on a commission only basis with no salary.   This will mean a huge drop in income for me, and I may not make enough sales to live on, but it may be better than being unemployed so Im interested in trying it.    However, Im worried that once I accept a commission only salary, should he then make me redundant I won’t be entitled to much redundancy payment  (Ive worked there for 8years on £50k+ salary).   Also, if I’m on a commission only salary and I don't make enough sales, he won’t ever need to make me redundant as I’ll be forced to resign to find a better job.      Any thoughts of what should I do or a better plan to make this work?!
Many thanks

JReacher1

I wouldn’t go from £50k a year to commission only. It sounds slightly ridiculous. 

I would take redundancy. 

jonesMUFCforever

On the face of it, I agree.

Hervness

Thanks for the comments.  Sadly Im in my mid 50s working in a very specialised industry which is suffering due to covid so I fear that it could be very difficult for me to get another job..

JReacher1

Hervness said:

Thanks for the comments.  Sadly Im in my mid 50s working in a very specialised industry which is suffering due to covid so I fear that it could be very difficult for me to get another job..

Yes it is hard at the moment but by agreeing to this you are basically telling your boss he can stop paying you a salary.  If he doesn't guarantee a minimum wage then you're basically not an employee!  How would things like holiday and sickness work out?  

I would go back with a counter offer of you will take redundancy but accept employment as an independent contractor who will only be paid commission.  Your boss may accept this proposal as it removes you from his headcount and if you're only getting paid commission it doesn't cost him anything really

unkle

Can they do commission only, surely have to guarantee minimum wage?

Either way, i'd take the redundancy.

thebrexitunicorn

The employer would have to guarantee minimum wage.  If you’re thinking about doing this it might be worth proposing a temporary amendment to your contract eg three months , and then if it isn’t working out and the employer can’t afford to keep you they would have to make you redundant based on your current terms. 

Thrugelmir

See if there's middle ground. That works to both your benefit and that of your employer. These are challenging times that require creative thinking. 

jonesMUFCforever

If it was me I would look at it this way - I am currently earning £50k my employer gives me a choice of getting a guaranteed zilch or redundancy.
Say you take the zilch option - what happens then if you are then made redundant?
Your redundancy will based on a much lower figure?

missile

How much would your redundancy payment be?

lincroft1710

I like this idea!

There is an employee on £50K pa who we no longer need. Instead of paying an exorbitant amount of redundancy, let's offer him a commission only contract, where we only need to pay him if he brings in any business.

Your employer is doing you no favours!!