Redundancy payments 16 December 2020 at 8:37PM in Redundancy & redundancy planning 3 replies 272 views

beemarman

I've been told that am getting 3 weeks' pay for every year worked. I would be finishing in June 2021 and would have worked for 2 years and 9 months. They would pay me for my notice period (3 months) which would mean I would be paid for July, August, and September. Would the notice period be added to the 2 years and 9 months already worked? This would mean I would have been there for 3yrs if the notice period is added.

McKneff

So does your notice period not start till 
 1st July....
Seems odd rather they are telling you 6 months in advance

beemarman

McKneff said:

So does your notice period not start till 
 1st July....
Seems odd rather they are telling you 6 months in advance

Yes, my notice period starts in July 2021, but I don't have to work my notice period. I just wanted to know if the notice period would mean I would have worked there for a total of 3 years instead?
We were told our jobs are being outsourced but we need 6 months to documents and train the outsourcing client and that's why they want us to stay for 6 months. 

getmore4less

TUPE?

If they are terminating your contract end June 2021 and paying 3 months PILON then you can add statutory notice(2 weeks) to that date for the relevant date for the redundancy calculation(not contractual notice).

One reason they may do it this way is they can change their minds right up to the last day so if the transition is delayed they can just push it back.

What may be better financially is they put people on notice to finish end of June and pay extra in the termination package as that is tax free up to £30k, PILON is taxable.