Redundancy advice needed

Hi, I hope you can help. 
The company I work for is closing at the end of this month. Another company is buying some of there stock and there customers good will. I am getting a job there so I’ve been told I’m not entitled to redundancy pay from were I work now but when I start at the new place it’s like stating again because they haven’t bought the business.
So I’ve worked for over 20 years and it’s all gone.
Is this correct. I hope someone can help, It just doesn’t seem right to me.
 Thank you for your help.

Replies

  • lincroft1710lincroft1710 Forumite
    16.1K Posts
    Part of the Furniture 10,000 Posts Name Dropper
    Forumite
    It may be a TUPE transfer, see https://www.gov.uk/transfers-takeovers.   Especially if the former employer provided a service which the new employer now provides. If it is a TUPE transfer then it wouldn't be a redundancy situation and you would retain some of your current employment rights.


    You do need to give more details of how the new job was obtained as it may be a redundancy situation. A third possibility is that you voluntarily resigned to take up the new job, in which case there is no redundancy.


    If the company has not followed due procedure and you have lost out because of this, it can be remedied.


    I am presuming you are not in a union. If you are then seek their advice.
    If you are querying your Council Tax band would you please state whether you are in England, Scotland or Wales
  • General_GrantGeneral_Grant Forumite
    4.2K Posts
    Tenth Anniversary 1,000 Posts Name Dropper
    Forumite
    Sasha1199 said:
    Hi, I hope you can help. 
    The company I work for is closing at the end of this month. Another company is buying some of there stock and there customers good will. I am getting a job there so I’ve been told I’m not entitled to redundancy pay from were I work now but when I start at the new place it’s like stating again because they haven’t bought the business.
    So I’ve worked for over 20 years and it’s all gone.
    Is this correct. I hope someone can help, It just doesn’t seem right to me.
     Thank you for your help.
    Ask the new employer for a copy of what will be your written particulars of employment.  The principal statement would need to be given to you on or before your first day working there and should include the date your continuous employment begins as well as the date you begin working with them.
  • thebrexitunicornthebrexitunicorn Forumite
    175 Posts
    100 Posts Second Anniversary Name Dropper
    Forumite
    Either you are entitled to a redundancy payment from your current employer, or you are transferring to the new employer under tupe and your twenty years of service goes with you.  
    As suggested above, check what your new contract says about your continuous service. 
  • Sasha1199Sasha1199 Forumite
    2 Posts
    First Post
    Newbie
    Thank you for your replies.
    The company I work for is a small family firm and the owners are retiring and closing the business. They sold the equipment and the customer good will to another company who do the same thing. The new company asked me to go and work for them because I know all the existing customers needs. They have never mentioned a contract, it has all been verbal and my existing boss says I’m not entitled to redundancy because the new company is taking me on. They have also said there accountant agrees that I am not entitled to redundancy because the new company has purchased part of my existing company even though it’s closing down. 
    I hope this makes sense.
  • edited 20 April 2021 at 12:13PM
    vacheronvacheron Forumite
    1.4K Posts
    Part of the Furniture 1,000 Posts Photogenic Mortgage-free Glee!
    Forumite
    edited 20 April 2021 at 12:13PM
    Sasha1199 said:
    Thank you for your replies.
    The company I work for is a small family firm and the owners are retiring and closing the business. They sold the equipment and the customer good will to another company who do the same thing. The new company asked me to go and work for them because I know all the existing customers needs. They have never mentioned a contract, it has all been verbal and my existing boss says I’m not entitled to redundancy because the new company is taking me on. They have also said there accountant agrees that I am not entitled to redundancy because the new company has purchased part of my existing company even though it’s closing down. 
    I hope this makes sense.
    If a new company is taking you on you must have either resigned or been made redundant by the old company. If neither happened then you have been transferred to the new company and (as mentioned above) you need to see if this is a TUPE transfer. 

    If it is not, then tell the new employer that you will be happy to work for them and they can "take you on" (as they put it), just as soon as your old employer makes you redundant and pays you your legal redundancy entitlements.
    • The rich buy assets.
    • The poor only have expenses.
    • The middle class buy liabilities they think are assets.
    Robert T. Kiyosaki
  • ThrugelmirThrugelmir Forumite
    89.5K Posts
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    Forumite
    Is the new company employing you on your existing contractual terms? 
Sign In or Register to comment.
Latest MSE News and Guides

Fans demand refunds from Leeds Festival

...after Rage Against The Machine pulls out

MSE News

The 'Ask An Expert' event

Check out last week's energy-themed Q&A with MSE's experts

MSE Forum

Free museums & galleries

Where to get your culture fix across the UK

MSE Deals