Statutory Redundancy and Continuous Service Date

guitatistanime
guitatistanime Posts: 21 Forumite
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edited 2 March 2023 at 10:11AM in Redundancy & redundancy planning
I am not currently facing redundancy, but a few questions in my mind about the future had got me thinking about this specific question which I am unable to find a clear answer for online - is the statutory redundancy pay calculated on the date you joined the company, or is it calculated on your continuous service date?

The answer to this question may ultimately decide if I move to a new job in the new future.

As briefly as possible, here's my scenario:

I worked for a local public sector firm, said firm was tendered out to private sector. 
Before the contract was due to start we were all to be TUPE'd, however I was offered and I accepted a new job in the new parent company instead, as part of the process I agreed that my continuous service date would be honoured which was to allow me the company benefits like more annual leave and an annual bonus. 

2 years after that, the company went into administration and all employees were made redundant. Before I was due to claim my redundancy pay the business was brought out of administration, the company was dissolved and a new one created, some employees, me included, picked up where left off.

Long story short my continuous service date is still honoured. 

The HR system reads something like:
Continuous service date: xx.xx.2005
Start date: xx.xx.2017

The 2017 date is the date I joined the company that went into administration. 

Comments

  • Worth noting that both I and my employer hold a copy of a letter from the previous company stating that my continuous service date is x and is written into my contract.
  • TheSpiddalKid
    TheSpiddalKid Posts: 90 Forumite
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    edited 2 March 2023 at 11:16PM
    CSD is a legal construct rather than a contractual construct. from the details above you have already past the threshold of having two years service since the transfer so that hurdle has been overcome.

    Your situation is one where your employer has made a contractual agreement. If it were to renege on that agreement, your recourse would be to the courts and you would have to rely on a pay claim for unpaid wages rather than any kind of breach of the law. 

    Additional

    Sorry to add to the above, based on what you have said, the law should count your CSD as being when you voluntarily moved roles (before the TUPE transfer happened) but no earlier and wouldn't include your service with the public body.
  • My apologies I didn't see your reply, that is great info thanks. So I think I understand that, in the event they decided not to honour my CSD for redundancy pay calculation, there is probably very little I can do about it without a lengthy court battle that would likely be a negligible gain in the grand scheme of things.
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