Re-hire after Termination

emploee_77

FIREDreamer said:

emploee_77 said:

I opted for the enhanced redundancy with an effective termination date of 8th June and indicated that I would come back as a re-hire in October (once checks are done) via the job I successfully applied for. Today, through my solicitor HR advised that the jobs I applied for separately and that were offered to me post termination date would not be available if I took the redundancy. HR has said the best they could do is bridge the salary from 8th June to my return date but the four week trial period would remain. It seems like a poor option but my nagging concern is that the external market has been awful and I haven't got anywhere since being notified of the redundancy process as far back as February.

Do I have any negotiating power left? I feel mentally drained.

Take the other offer from the new company. This one sounds shambolic.

I have just been advised by my solicitor that he has contacted my former employer to stipulate that as I'm a former employee and as my application is now being treated as an external hire there's nothing preventing me from having the redundancy and coming back in September (proposed onboarding date). Furthermore, according to the solicitor there's nothing within the 20 page redundancy contract preventing this.

It's now going through the motions between legal teams.

prowla

I don't see how a redundancy can stop you looking elsewhere for work; that's restrictive practices.

General_Grant

emploee_77 said:

What are the tax implications on the £30k that is tax free if I'm re-hired?

I expect your solicitor will have told you that re-hiring would not affect the tax-free sum.  The two employment periods are separate and the redundancy payment reflects the loss of the first job.

prowla

It seems that the company has stuffed things up...

Redundancy is of the position/role, not the employee.

A redundancy consultation period should look at alternatives for keeping the employee on.

Instead, the company seems to have done it back-to-front, applying the redundancy first and then looking at the alternatives.

"Continuity of employment" is a phrase.

If the company re-hires the employee immediately, then that would be deemed continuous employment and the employee may have to return SRP payments plus the company could be investigated by HMRC.

OTOH if there is a gap between leaving and being re-employed (even just a week), then that breaks continuity; however that means starting as if a new employment and losing holiday benefits, rights for over 2 years service (including another redundancy), possible new contract T&Cs, flexible working, and so-on.

In summary, you can't both be made redundant and step right back into the same role with the same rights and conditions you had before.

Here's a couple of links I found (I'm just a bloke on the interweb with opinions, not a legal adviser):

• https://www.gov.uk/continuous-employment-what-it-is
  
• https://www.legislation.gov.uk/uksi/1996/3147/made
  

emploee_77

So the company has rejected the option of the re-hire despite me being terminated since the beginning of June, they have outlined the following.

1. Accept one of the roles offered and forfeit the redundancy. I would be paid a bridging salary and hold my years of employment.
2. Accept the redundancy and forfeit the alternative role.

My solicitor feels that the company has made an error but suggested that the only other action was a litigation which could have professional consequences and would be a year down the line, possibly costing £2k-£3k. My solicitor felt that whilst a win was likely it couldn't be guaranteed.


In addition to options 1 and 2, the solicitor suggested I could opt for one and then proceed with a legal case. E.g. Take the redundancy and proceed against the missed job.

All very messy.

Grumpy_chap

If I were you, I'd take the redundancy and forfeit the alternative role.

emploee_77

Grumpy_chap said:

If I were you, I'd take the redundancy and forfeit the alternative role.

It's the most sensible option, my concern is that I have not found the external market favourable.

FIREDreamer

emploee_77 said:

Grumpy_chap said:

If I were you, I'd take the redundancy and forfeit the alternative role.

It's the most sensible option, my concern is that I have not found the external market favourable.

Would you still want to work for these people? I wouldn’t!

Grumpy_chap

emploee_77 said:

Grumpy_chap said:

If I were you, I'd take the redundancy and forfeit the alternative role.

It's the most sensible option, my concern is that I have not found the external market favourable.

You may find the external market more favourable once you have overcome the psychological process of breaking with the current employer.  I do realise that is hard when this is all a change imposed on you.

You have not mentioned what type of work you do, or the industry, but in many areas recruitment can be variable through the year.  In my area, nothing would happen from a recruitment perspective now until September.  That really means unless you had an offer in place by the end of June, so start 1st August, there is a need to sit it out through the summer.  IIRC, you left the previous role at the end of June.

I understand that, even with the redundancy payment, so long as your NI record are correct and paid for the last couple of years (which they will be based on your status described upthread), you can claim nJSA (new-style job seeker allowance) which is not means tested.  You might as well do that as it will help to stretch the redundancy and you get access to the Work Coach who can advise on CV and other factors to support re-employment.

One final point is, if you take the redundancy and move on, the current employer may be back in contact in a couple of months offering a new role that is not tied up with the redundancy, or you may see a role there and apply.  Given what you have said about how "valued" you are, then the future call to go back would seem a high probability.  Unless, of course, all that was just to get you back, save the redundancy payout and then see you gone for far less cost.  At least you'd know.

emploee_77

Grumpy_chap said:

emploee_77 said:

Grumpy_chap said:

If I were you, I'd take the redundancy and forfeit the alternative role.

It's the most sensible option, my concern is that I have not found the external market favourable.

You may find the external market more favourable once you have overcome the psychological process of breaking with the current employer.  I do realise that is hard when this is all a change imposed on you.

You have not mentioned what type of work you do, or the industry, but in many areas recruitment can be variable through the year.  In my area, nothing would happen from a recruitment perspective now until September.  That really means unless you had an offer in place by the end of June, so start 1st August, there is a need to sit it out through the summer.  IIRC, you left the previous role at the end of June.

I understand that, even with the redundancy payment, so long as your NI record are correct and paid for the last couple of years (which they will be based on your status described upthread), you can claim nJSA (new-style job seeker allowance) which is not means tested.  You might as well do that as it will help to stretch the redundancy and you get access to the Work Coach who can advise on CV and other factors to support re-employment.

One final point is, if you take the redundancy and move on, the current employer may be back in contact in a couple of months offering a new role that is not tied up with the redundancy, or you may see a role there and apply.  Given what you have said about how "valued" you are, then the future call to go back would seem a high probability.  Unless, of course, all that was just to get you back, save the redundancy payout and then see you gone for far less cost.  At least you'd know.

All good points, my partner wants me to take the job, feeling I would be too stressed out of work. Decision day is tomorrow.