Redundancy PILON 6 March at 1:00PM in Redundancy & redundancy planning 5 replies 203 views

tjw1066

Hi, I am about to be made redundant and have 3 months notice written into my contract. My employer has indicated that PILON will be applied. My question is that I have a car allowance paid each month and employer has told me I do not get this on my PILON as it's a benefit. My contract clause for PILON states the only ' we reserve the contractual right to give pay in lieu of all or any part of the above notice by either party'. It does not mention benefits so can you advise if I am entitled to the 'car allowance' benefit?
Thanks 

McKneff

I would think if the car allowance has not been specifically mentioned in your contract under a pilon situation then its not a contractual entitlement. 

Google 'car allowance under a Pilon situation. 

400ixl

How do they detail it on your payslips?

Some just roll it into the base pay, in which case I would have thought it would be paid. If it is in the benefits section of the payslip then I wouldn't expect it to be paid, same as medical cover etc.

tjw1066

It's not in benefits on payslip but it is on the contract. Nothing specific mentioned on the PILON clause. Thanks, I think they'll not pay it.

tjw1066

nothing is mentioned in the PILON clause apart from 
"we reserve the contractual right to give pay in lieu of all or any part of the above notice by either party"

prowla

i think that you are entitled to your benefits under PILON, but would suggest checking the Government sites for details.