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Payment in lieu of notice question

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Recently lost job and promised but yet to receive 2 months pay in lieu of notice (2 years served).

Does this cover statutory redundancy (if I was made redundant that is, employer didnt use that word) and if not included, are they legally obliged to pay statutory as well as pilon? (I never received a contract so it isn't specified).

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  • Undervalued
    Undervalued Posts: 9,587 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    edited 6 September 2024 at 10:50AM
    Your statutory notice with 2 years service is two weeks. Your contract may require more notice in which case this must be honoured (maybe two months in your contract ?? if so that is what they must pay)..You do still have a contract even if nothing was provided in writing but obviously harder to prove what was agreed.

    Statutory redundancy depends on your age as well as your length of service but from memory wouldn't be as much as two months with only two years service. Google statutory redundancy to find the government calculator.

    Otherwise this may be an all in settlement. However without a formal settlement agreement (for which you must receive legal advice) it is not binding on you and you could still make a claim against them if you have any valid grounds.
  • saajan_12
    saajan_12 Posts: 5,063 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    jmb1 said:
    Recently lost job and promised but yet to receive 2 months pay in lieu of notice (2 years served).
    Did your agreement state 2 months notice? If you didn't have a contract, then the statutory notice would be 2 weeks (assuming 2 full years, or 1 week if just under). 

    jmb1 said:
    Does this cover statutory redundancy (if I was made redundant that is, employer didnt use that word) and if not included, are they legally obliged to pay statutory as well as pilon? (I never received a contract so it isn't specified).
    Did they give a reason? It may not be classed as redundancy but just a standard termination. If it is redundancy, then there's a process that would need to be followed. The statutory pay would be in addition to notice pay, but the amount depends on your age as well as if under / over 2 years service. 
  • DullGreyGuy
    DullGreyGuy Posts: 18,613 Forumite
    10,000 Posts Second Anniversary Name Dropper
    jmb1 said:
    Recently lost job and promised but yet to receive 2 months pay in lieu of notice (2 years served).

    Does this cover statutory redundancy (if I was made redundant that is, employer didnt use that word) and if not included, are they legally obliged to pay statutory as well as pilon? (I never received a contract so it isn't specified).
    Notice and redundancy are separate things... you dont get reducency within 2 years of employment so you need to be clear exactly how long you had been an employee at the time they served notice
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