Double notice period - which would apply?
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IM_IR
Posts: 4 Newbie
I've been terminated last week, after working 13 months, effective immediately.
The employer sent out a letter of termination that states they will pay the notice in lieu (aka PILON), but it doesn't say how much/long so I checked the contract and I'm confused - a single clause has 3 notice periods mentioned:
The clause attached below - any thoughts on which should apply?
The employer sent out a letter of termination that states they will pay the notice in lieu (aka PILON), but it doesn't say how much/long so I checked the contract and I'm confused - a single clause has 3 notice periods mentioned:
- one week - during probation (which I've completed)
- 3 months - after probation
- 1 month - no details
The clause attached below - any thoughts on which should apply?
2. Period of employment
[...]
2.5 [... talks about the probation period]
2.6
Following the successful completion of the probationary period in Clause 2.5 and subject to Clause 13, your employment may be terminated by either party to this Agreement giving to the other party not less than three months’ notice in writing or such longer period as may be required by statute.
Subject to Clause 13, your employment may be terminated by either party to this Agreement giving to the other party not less than 1 months’ notice in writing or such longer period as may be required by statute.
[...Skipping to clause 13]
13. Termination
13.1
The Company may at any time and in its absolute discretion (whether or not any notice of termination has been given under Clause 2.6 or below) terminate this Agreement with immediate effect and make a Payment in Lieu by notifying you in writing that the Company is exercising its rights under this Clause 13.1 and that, subject to the remaining terms of this clause (including the right to make a payment in lieu of notice in instalments pursuant to clause 13.2), paying you within 28 days of the date on which such written notice is given, the Payment in Lieu (or if the Payment in Lieu is to be made in instalments, the first such instalment), less any deductions the Company is required to make.
[... goes on to talk about PILON terms and reasons not to pay e.g. gross misconduct which don't apply my case]
[...]
2.5 [... talks about the probation period]
2.6
Following the successful completion of the probationary period in Clause 2.5 and subject to Clause 13, your employment may be terminated by either party to this Agreement giving to the other party not less than three months’ notice in writing or such longer period as may be required by statute.
Subject to Clause 13, your employment may be terminated by either party to this Agreement giving to the other party not less than 1 months’ notice in writing or such longer period as may be required by statute.
[...Skipping to clause 13]
13. Termination
13.1
The Company may at any time and in its absolute discretion (whether or not any notice of termination has been given under Clause 2.6 or below) terminate this Agreement with immediate effect and make a Payment in Lieu by notifying you in writing that the Company is exercising its rights under this Clause 13.1 and that, subject to the remaining terms of this clause (including the right to make a payment in lieu of notice in instalments pursuant to clause 13.2), paying you within 28 days of the date on which such written notice is given, the Payment in Lieu (or if the Payment in Lieu is to be made in instalments, the first such instalment), less any deductions the Company is required to make.
[... goes on to talk about PILON terms and reasons not to pay e.g. gross misconduct which don't apply my case]
I'm waiting for HR to get back to me on this, but want to be informed if I have any recourse in case they try to pay only 1 month.
0
Comments
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IM_IR said:I've been terminated last week, after working 13 months, effective immediately.
The employer sent out a letter of termination that states they will pay the notice in lieu (aka PILON), but it doesn't say how much/long so I checked the contract and I'm confused - a single clause has 3 notice periods mentioned:- one week - during probation (which I've completed)
- 3 months - after probation
- 1 month - no details
The clause attached below - any thoughts on which should apply?2. Period of employment
[...]
2.5 [... talks about the probation period]
2.6
Following the successful completion of the probationary period in Clause 2.5 and subject to Clause 13, your employment may be terminated by either party to this Agreement giving to the other party not less than three months’ notice in writing or such longer period as may be required by statute.
Subject to Clause 13, your employment may be terminated by either party to this Agreement giving to the other party not less than 1 months’ notice in writing or such longer period as may be required by statute.
[...Skipping to clause 13]
13. Termination
13.1
The Company may at any time and in its absolute discretion (whether or not any notice of termination has been given under Clause 2.6 or below) terminate this Agreement with immediate effect and make a Payment in Lieu by notifying you in writing that the Company is exercising its rights under this Clause 13.1 and that, subject to the remaining terms of this clause (including the right to make a payment in lieu of notice in instalments pursuant to clause 13.2), paying you within 28 days of the date on which such written notice is given, the Payment in Lieu (or if the Payment in Lieu is to be made in instalments, the first such instalment), less any deductions the Company is required to make.
[... goes on to talk about PILON terms and reasons not to pay e.g. gross misconduct which don't apply my case]I'm waiting for HR to get back to me on this, but want to be informed if I have any recourse in case they try to pay only 1 month.
You don't say (unless I am missing it) how long your probation period was? More than 13 months would be very unusual but I suppose possible in that is what was originally agreed.
The normal legal interpretation is that probation is "passed" and completed at the end of the agreed period unless the employee is informed otherwise. So, assuming the period was a year or less (pretty unlikely to be 13 months) and you were not formally informed that it was being extended, then there is a strong argument that you are no longer in probation so entitled to 3 months PILON.1 - one week - during probation (which I've completed)
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Do they mean
3 months notice if they want you to work it
1 months notice if they give PILON1 -
Andy_L said:Do they mean
3 months notice if they want you to work it
1 months notice if they give PILON
Whilst they have, in the contract, reserved the right to pay PILON, rather than allow the OP to work their notice, they cannot unilaterally short change the OP for doing so.
They could, I suppose, give the OP the choice to either work their full 3 months notice or to leave at once and accept a lower amount in settlement, but they cannot lawfully force that option.1 -
Am I missing reading a line? I read it as 3 months notice after probation, and they will give you a months warning of this (so does that mean 4 months notice technically?), and in clause 13 they say if they give you PILON (ie. dont make you work the period) then they will pay you that PILON (of 3 months...) within 28 days (is that the 1month referred to?)
Peter.Peter
Debt free - finally finished paying off £20k + Interest.1 -
Probation was 6 months and I have received an email saying I've completed it.
The more I read this, the more it feels like a template gone wrong. i.e they have one contract with multiple options and HR needs to delete the appropriate section 1/3 months but didn't.0 -
IM_IR said:Probation was 6 months and I have received an email saying I've completed it.
The more I read this, the more it feels like a template gone wrong. i.e they have one contract with multiple options and HR needs to delete the appropriate section 1/3 months but didn't.
I stick with the view I expressed earlier that they could offer you the choice of working the three months or accepting a lower amount in PILON. However if you don't agree and they want you gone immediately then they would have to pay the full three months.1 -
Got a reply from HR. It was an admin error in the original contract and they'll pay the longer period.
Thanks for your help folks!5
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