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Are they right not pay my pension on termination?

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My previous employer terminated my employment with immediate effect and has paid me a month's base salary in lieu of notice. 
They have not, however, made an employer's pension contribution when previously it was 10%. I appreciate I'm probably clutching at straws but is this  'right'?
The relevant clause is
 "....at its sole and absolute discretion, terminate your employment immediately by written notice to you and then pay to you basic salary (at the rate in force at the time such payment is made) in lieu of any applicable notice period (or balance thereof)"

I think I know the answer - but live in hope :)

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  • Marcon
    Marcon Posts: 14,567 Forumite
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    beeza650 said:
    My previous employer terminated my employment with immediate effect and has paid me a month's base salary in lieu of notice. 
    They have not, however, made an employer's pension contribution when previously it was 10%. I appreciate I'm probably clutching at straws but is this  'right'?
    The relevant clause is
     "....at its sole and absolute discretion, terminate your employment immediately by written notice to you and then pay to you basic salary (at the rate in force at the time such payment is made) in lieu of any applicable notice period (or balance thereof)"

    I think I know the answer - but live in hope :)
    I'm afraid with that clause in your contract it's basic pay only.

    From ACAS's website:

    Payment in lieu of notice (PILON)

    A clause in an employee's contract might allow payment instead of working their notice. This is called 'payment in lieu of notice' or 'PILON'. This means they would stop working straight away.

    Depending on the wording of the clause, the employer might be able to insist on payment in lieu of notice.

    The employer must give the employee full pay for their notice period. The contract will end straight away, so it's unlikely they'll have to provide other contractual benefits.

    Googling on your question might have been both quicker and easier, if you're only after simple facts rather than opinions!  
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