Furlough Queries, Short Time Working and Should I Sign a 'New' Contract

Mum2D

I work for a company that has the contract to run a facility that is owned by a local authority. I have worked at the facility for in excess of 25 years - initially for the district council, then the company that initially took over the running of the facility when it was first outsourced and, latterly, for my current employer. In each instance my employment was transferred in line with TUPE regulations.

I have a number of questions and I think that the answers to all or most of these probably depend upon whether I my employment is deemed to be that of a casual employee or a casual worker. I work in the leisure industry and teach a number of classes. Each class is run on the same day/time each week and the expectation is that I will be there each week unless I am sick or on holiday, etc. Some of the classes I have been teaching for 10, 15 or 20 years.

I was placed on furlough back in March and this was calculated as per Government guidelines based on my hours during the 2019-2020 year. I was placed on flexible furlough when I returned to work at the end of September (my hours were significantly reduced as not all classes running) and taken off furlough at the end of October. I was put back on furlough on 2 November. My furlough pay for the second lockdown was a fraction of what I previously received and it appears to have been calculated on the reduced hours rather than my previous hours. If I was a permanent contracted member of staff then I don't think it would have been possible to do that. Should I have been afforded the same rights as a permanent member of staff?

I am on reduced hours but this has not really been discussed with me - although obviously I understand that the business is unable to operate in the same way that it did pre-COVID. However, I have read that a contracted staff have rights, eg option of redundancy, if on reduced hours for a certain period of time. Should those rights also extend to me?

Lastly, I have just received an email advising that the company propose moving me to a permanent contract based on my current hours in the next few weeks. Why would they do that? And do I have any choice? 

Thanks so much for reading.

Savvy_Sue

Mum2D said:

Lastly, I have just received an email advising that the company propose moving me to a permanent contract based on my current hours in the next few weeks. Why would they do that? And do I have any choice? 

I'm afraid I can't comment on any of the rest of it: it does as you say depend on what your contract was - were you paid the same each week / month, or did it vary according to the number of classes you actually taught? What does the latest variation to your contract say? 

You ask why they would move you to a permanent contract on your current (reduced) hours. Simply, to give both you and them some certainly over ongoing salaries. Clearly they don't anticipate demand or capacity for classes to pick up any time soon. If you're currently contracted to work more hours than they can use, they won't want to pay you for those hours. And if you're not clear what sort of contract you're on, I'm afraid there's not a lot of hope that anyone else can work it out for you. 

And yes, you have a choice, and I'm afraid it's a stark one. You accept the revised contract, or you find alternative employment. There may be some nuances, you may be entitled to redundancy if what they are able to offer is not a reasonable alternative, you may be able to negotiate - but they will know that they can't afford the pre-Covid salary bill. 

Another option might be to seek additional employment / self-employment: I'm not saying it's easy or possible, but I do know someone who started offering Zoom workout classes in the first lockdown and finds they can make more money that way than when they were offering face to face classes. And if your employer is offering set times when they want you to work, that does mean you're fairly free to explore alternatives - although do check whether you are required to tell them of any additional work you're doing, and whether they have effectively a 'no-compete' clause. 

getmore4less

Fist establish your current contract.

With multiple TUPE that should have clarified at least once. 

We can't see it. 

General_Grant

If they reduce your hours and then need to make the job redundant you would receive less pay than you would now, unless you receive a very high salary where you would be up against the ceiling even on the reduced hours.

Mum2D

Thanks for the replies.

I do not have a physical contract. I was not issued with one when I first started working for the district council in the '90s and I have been informed on each occasion that my employment has been transferred in line with TUPE regulations, which I have taken to mean the same rate of pay, remaining in local government pension scheme, etc. I am not presently paid a set monthly salary; I am paid an hourly rate and my gross pay varies depending on the number of classes that fall within that month. As the majority of my classes are term time only (children's classes) then the gross pay can vary considerably from one month to another.

About a year ago there was mention of moving casual staff onto contracts and it recently crossed my mind that the company must be relieved not to have done this pre-COVID as they may have had to pay out a lot of redundancy pay if they had done so. I was therefore extremely surprised to receive a communication to say that they intend to move casual staff onto contracts within the next few weeks. I had a conversation with the manager shortly before lockdown and mentioned implied contracts and was told that there was no such thing as an implied contract. The communication that I have received states that the move to contracted hours is to remove the uncertainty of having an implied contract! I may be being cynical but I do not believe that the reason behind the change is for the benefit of myself and the other staff concerned and do wonder whether one or more member of staff (within what is a large national organsiation) have successfully argued an implied contract and received redundancy based on their previous hours hence the decision to get staff to sign contracts for reduced hours.
General_Grant said:

If they reduce your hours and then need to make the job redundant you would receive less pay than you would now, unless you receive a very high salary where you would be up against the ceiling even on the reduced hours.

That was my understanding of the situation. I don't think it would actually affect me as I believe that I would probably be eligible for retirement with no actuarial reduction since I am over the age of 55. Does anyone know whether this would definitely be the case? If I were to accept the reduced hours then would I be able to receive back my extra hours (when available) on my existing terms and conditions? Or might they be considered separate and offered back on less preferential terms? 

Thanks again for the input. I am someone who likes to know the 'ins and outs' of situations before making cautious and informed decisions.