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Has anyone managed to negotiate their redundancy package?

london21
london21 Posts: 2,186 Forumite
1,000 Posts Fourth Anniversary Name Dropper

I'm currently going through redundancy. I found out I was at risk on Wednesday, and by the 17th, my role will be gone. What's bothering me is that I feel singled out I'm the only one in the team affected. They're offering two weeks' pay for every year worked, but I believe one month's pay per year would be fairer, especially considering how I've been treated.

I have my first consultation meeting on Tuesday. I've asked for the scoring criteria they used to compare me with the colleague they chose to keep, and they said I’ll receive a copy after the meeting.

Any tips? I've been with the company for over 8 years in total, but I've been a permanent staff member for 5 years and 9 months. Should the redundancy calculation be based on the overall number of years, given that there were no breaks in service? They say they’ll round it to 6 years, but I don’t feel I’m being treated fairly I’m the longest-serving team member.

A new manager started last year and has consistently treated me differently, offering little support. When I had surgery and was signed off for two weeks, they pressured me to return within a week, but I stood my ground. I also lost my father earlier this year while abroad. It’s been a lot to deal with recently.

I should have added Settlement Agreement Role Is At Risk Of Redundancy. With The Payment Will Require Signing Without Prejudice And Subject To Contract.

«13

Comments

  • MattMattMattUK
    MattMattMattUK Posts: 11,541 Forumite
    10,000 Posts Fifth Anniversary Name Dropper
    london21 said:

    I'm currently going through redundancy. I found out I was at risk on Wednesday, and by the 17th, my role will be gone. What's bothering me is that I feel singled out I'm the only one in the team affected. They're offering two weeks' pay for every year worked, but I believe one month's pay per year would be fairer, especially considering how I've been treated.

    That is fairly standard as a time frame, once the employer realises they can/need to cut costs they will not hang around. Statutory is one week per full year of service, two weeks would seem generous, I cannot see how you think a month per year is reasonable or "fair". Is there any enhanced redundancy in your contract and what is your notice period?
    london21 said:
    I have my first consultation meeting on Tuesday. I've asked for the scoring criteria they used to compare me with the colleague they chose to keep, and they said I’ll receive a copy after the meeting.
    Just be aware you will not get your colleagues score, just the criteria.
    london21 said:Any tips? I've been with the company for over 8 years in total, but I've been a permanent staff member for 5 years and 9 months. Should the redundancy calculation be based on the overall number of years, given that there were no breaks in service? They say they’ll round it to 6 years, but I don’t feel I’m being treated fairly I’m the longest-serving team member.
    Ultimately it will depend what your employment terms were in the first three years, if you were directly employed, fixed term contracts etc..

    Their statutory position would either be five weeks pay, or eight weeks pay depending on that, they are currently offering you twelve weeks pay which seems to be quite generous, keep there in mind before you ask for 20-32 weeks pay.
    london21 said:
    A new manager started last year and has consistently treated me differently, offering little support. When I had surgery and was signed off for two weeks, they pressured me to return within a week, but I stood my ground. I also lost my father earlier this year while abroad. It’s been a lot to deal with recently.
    Unfortunately none of that is really relevant.

    My advice would be to check your employment status for the first few years and see how that would impact the redundancy, but a month per year is totally unrealistic considering that they only have to offer you a week. Remember that redundancy is tax free (up to £50k) and you are entitled to notice and holiday pay on top. 

    The other thing is to obviously start looking for jobs straight away, spend tomorrow updating your CV and LinkedIn and get applying.
  • Wonka_2
    Wonka_2 Posts: 949 Forumite
    Part of the Furniture 500 Posts Name Dropper Combo Breaker
    Negotiation is possible but depends on your value/cost to the business. 

    Given your previous posts/salary comments I’d not be expecting them to consider doubling their offer (which already seems to be double the requirement)

    Are they paying your notice period as well ? And how long is that ?

    Whilst you can ask for the 4wks per year you need to decide the worth of this vs your other asks e.g inclusion of yrs service pre-contract, redundancy/re-employment support, entitlement to bonus for current year etc etc
  • london21
    london21 Posts: 2,186 Forumite
    1,000 Posts Fourth Anniversary Name Dropper
    london21 said:

    I'm currently going through redundancy. I found out I was at risk on Wednesday, and by the 17th, my role will be gone. What's bothering me is that I feel singled out I'm the only one in the team affected. They're offering two weeks' pay for every year worked, but I believe one month's pay per year would be fairer, especially considering how I've been treated.

    That is fairly standard as a time frame, once the employer realises they can/need to cut costs they will not hang around. Statutory is one week per full year of service, two weeks would seem generous, I cannot see how you think a month per year is reasonable or "fair". Is there any enhanced redundancy in your contract and what is your notice period?
    london21 said:
    I have my first consultation meeting on Tuesday. I've asked for the scoring criteria they used to compare me with the colleague they chose to keep, and they said I’ll receive a copy after the meeting.
    Just be aware you will not get your colleagues score, just the criteria.
    london21 said:Any tips? I've been with the company for over 8 years in total, but I've been a permanent staff member for 5 years and 9 months. Should the redundancy calculation be based on the overall number of years, given that there were no breaks in service? They say they’ll round it to 6 years, but I don’t feel I’m being treated fairly I’m the longest-serving team member.
    Ultimately it will depend what your employment terms were in the first three years, if you were directly employed, fixed term contracts etc..

    Their statutory position would either be five weeks pay, or eight weeks pay depending on that, they are currently offering you twelve weeks pay which seems to be quite generous, keep there in mind before you ask for 20-32 weeks pay.
    london21 said:
    A new manager started last year and has consistently treated me differently, offering little support. When I had surgery and was signed off for two weeks, they pressured me to return within a week, but I stood my ground. I also lost my father earlier this year while abroad. It’s been a lot to deal with recently.
    Unfortunately none of that is really relevant.

    My advice would be to check your employment status for the first few years and see how that would impact the redundancy, but a month per year is totally unrealistic considering that they only have to offer you a week. Remember that redundancy is tax free (up to £50k) and you are entitled to notice and holiday pay on top. 

    The other thing is to obviously start looking for jobs straight away, spend tomorrow updating your CV and LinkedIn and get applying.

    They said they're offering an enhanced package, but it's only enhanced by around £13,000—statutory is £3,000.

    The redundancy payment is tax-free, but the notice period and any unused holiday pay are taxable.

    From what I understand, one month's pay per year of service is standard in the industry.

    My notice period is three months.

    My manager clearly prefers my colleague, but that's their issue. I'm going to do my best to negotiate the maximum I can, especially with the end of the year and Christmas approaching.

    I started on a four-month fixed-term contract, then continued contracting for two years before becoming a permanent employee. I've now been permanent for five years and nine months.

  • london21
    london21 Posts: 2,186 Forumite
    1,000 Posts Fourth Anniversary Name Dropper
    Wonka_2 said:
    Negotiation is possible but depends on your value/cost to the business. 

    Given your previous posts/salary comments I’d not be expecting them to consider doubling their offer (which already seems to be double the requirement)

    Are they paying your notice period as well ? And how long is that ?

    Whilst you can ask for the 4wks per year you need to decide the worth of this vs your other asks e.g inclusion of yrs service pre-contract, redundancy/re-employment support, entitlement to bonus for current year etc etc
    notice period is 3 months will be a payment in lieu of notice and the beenfits and pension will stop from the date they gave like 2 weeks time.

    statutory is around 3k enhanced like 16k but this is 6 years of service altogether over 8 years if the contract and permanent periodi is added together. 
  • london21
    london21 Posts: 2,186 Forumite
    1,000 Posts Fourth Anniversary Name Dropper

    Just found out that continious employment although i started as a contractor in 2017 there has been no break when i got made permanent. Start date (continuous service): April 2017

    • At risk date: October 2025
    • Length of service: 8½ years (approx.)

    So, if your redundancy pay is being calculated, it should reflect 8 years’ service, not just the time since you became permanent.

    Your employer must treat your service as continuous because there was no break between the fixed-term and permanent contracts.
    This is explicitly covered under Section 218 of the Employment Rights Act 1996 and is reinforced by ACAS and GOV.UK guidance.

  • MattMattMattUK
    MattMattMattUK Posts: 11,541 Forumite
    10,000 Posts Fifth Anniversary Name Dropper
    london21 said:
    london21 said:

    I'm currently going through redundancy. I found out I was at risk on Wednesday, and by the 17th, my role will be gone. What's bothering me is that I feel singled out I'm the only one in the team affected. They're offering two weeks' pay for every year worked, but I believe one month's pay per year would be fairer, especially considering how I've been treated.

    That is fairly standard as a time frame, once the employer realises they can/need to cut costs they will not hang around. Statutory is one week per full year of service, two weeks would seem generous, I cannot see how you think a month per year is reasonable or "fair". Is there any enhanced redundancy in your contract and what is your notice period?
    london21 said:
    I have my first consultation meeting on Tuesday. I've asked for the scoring criteria they used to compare me with the colleague they chose to keep, and they said I’ll receive a copy after the meeting.
    Just be aware you will not get your colleagues score, just the criteria.
    london21 said:Any tips? I've been with the company for over 8 years in total, but I've been a permanent staff member for 5 years and 9 months. Should the redundancy calculation be based on the overall number of years, given that there were no breaks in service? They say they’ll round it to 6 years, but I don’t feel I’m being treated fairly I’m the longest-serving team member.
    Ultimately it will depend what your employment terms were in the first three years, if you were directly employed, fixed term contracts etc..

    Their statutory position would either be five weeks pay, or eight weeks pay depending on that, they are currently offering you twelve weeks pay which seems to be quite generous, keep there in mind before you ask for 20-32 weeks pay.
    london21 said:
    A new manager started last year and has consistently treated me differently, offering little support. When I had surgery and was signed off for two weeks, they pressured me to return within a week, but I stood my ground. I also lost my father earlier this year while abroad. It’s been a lot to deal with recently.
    Unfortunately none of that is really relevant.

    My advice would be to check your employment status for the first few years and see how that would impact the redundancy, but a month per year is totally unrealistic considering that they only have to offer you a week. Remember that redundancy is tax free (up to £50k) and you are entitled to notice and holiday pay on top. 

    The other thing is to obviously start looking for jobs straight away, spend tomorrow updating your CV and LinkedIn and get applying.

    They said they're offering an enhanced package, but it's only enhanced by around £13,000—statutory is £3,000.

    Most people would consider more than four times what they are legally obliged to pay very generous...
    london21 said:
    The redundancy payment is tax-free, but the notice period and any unused holiday pay are taxable.
    Yes, that is how it works.
    london21 said:
    From what I understand, one month's pay per year of service is standard in the industry.
    That would be very generous, but I would also point out if it were standard then it would be in your contract.
    london21 said:
    My notice period is three months.
    You could ask for PILON so you do not have to work it, which sounds like something they may go for to get things over and done with quicker.
    london21 said:
    My manager clearly prefers my colleague, but that's their issue. I'm going to do my best to negotiate the maximum I can, especially with the end of the year and Christmas approaching.
    You have to remember that in a negotiation it usually requires both sides to have an element of strength. They have already offered you a significantly enhanced redundancy, you want to ask for more than four times what statutory is, they could just decide that you are being unreasonable, withdraw the enhanced offer and send you out the door with statutory. Unfortunately they hold all the cards.
    london21 said:
    I started on a four-month fixed-term contract, then continued contracting for two years before becoming a permanent employee. I've now been permanent for five years and nine months.
    london21 said:

    Just found out that continious employment although i started as a contractor in 2017 there has been no break when i got made permanent. Start date (continuous service): April 2017

    • At risk date: October 2025
    • Length of service: 8½ years (approx.)

    So, if your redundancy pay is being calculated, it should reflect 8 years’ service, not just the time since you became permanent.

    Your employer must treat your service as continuous because there was no break between the fixed-term and permanent contracts.
    This is explicitly covered under Section 218 of the Employment Rights Act 1996 and is reinforced by ACAS and GOV.UK guidance.

    The second section seems AI generated so I would be somewhat wary. As I said it depends on your employment status and the specifics of that, being a "contractor" means nothing. If you were PAYE then apart from a few scenarios, the main one being your contracting was via a third party employer then yes, it would count, however if you were not PAYE then it almost certainly would not apply. What was your employment status?
    london21 said:
    Wonka_2 said:
    Negotiation is possible but depends on your value/cost to the business. 

    Given your previous posts/salary comments I’d not be expecting them to consider doubling their offer (which already seems to be double the requirement)

    Are they paying your notice period as well ? And how long is that ?

    Whilst you can ask for the 4wks per year you need to decide the worth of this vs your other asks e.g inclusion of yrs service pre-contract, redundancy/re-employment support, entitlement to bonus for current year etc etc
    notice period is 3 months will be a payment in lieu of notice and the beenfits and pension will stop from the date they gave like 2 weeks time.

    statutory is around 3k enhanced like 16k but this is 6 years of service altogether over 8 years if the contract and permanent periodi is added together. 
    So regardless of your actual length of service they are already offering you many times what they need to. You have no cards to negotiate with, they hold them all.

    The best thing to do is to get applying for new jobs, get a new job fairly quickly and then the £16k is a nice tax free bonus, with a new job and a new start.
  • Wonka_2
    Wonka_2 Posts: 949 Forumite
    Part of the Furniture 500 Posts Name Dropper Combo Breaker

    They said they're offering an enhanced package, but it's only enhanced by around £13,000—statutory is £3,000.

    The redundancy payment is tax-free, but the notice period and any unused holiday pay are taxable.

    From what I understand, one month's pay per year of service is standard in the industry.

    My notice period is three months.

    Not sure your maths is mathing ? What else is included in the ‘package’ to move it from £3k to £13k ?

    if 1 month per year is standard this should have been negotiated as part of your contract on joining - it’s too late now 

    And if the notice period is 3 months then any benefits should continue for that period 
  • london21
    london21 Posts: 2,186 Forumite
    1,000 Posts Fourth Anniversary Name Dropper
    london21 said:
    london21 said:

    I'm currently going through redundancy. I found out I was at risk on Wednesday, and by the 17th, my role will be gone. What's bothering me is that I feel singled out I'm the only one in the team affected. They're offering two weeks' pay for every year worked, but I believe one month's pay per year would be fairer, especially considering how I've been treated.

    That is fairly standard as a time frame, once the employer realises they can/need to cut costs they will not hang around. Statutory is one week per full year of service, two weeks would seem generous, I cannot see how you think a month per year is reasonable or "fair". Is there any enhanced redundancy in your contract and what is your notice period?
    london21 said:
    I have my first consultation meeting on Tuesday. I've asked for the scoring criteria they used to compare me with the colleague they chose to keep, and they said I’ll receive a copy after the meeting.
    Just be aware you will not get your colleagues score, just the criteria.
    london21 said:Any tips? I've been with the company for over 8 years in total, but I've been a permanent staff member for 5 years and 9 months. Should the redundancy calculation be based on the overall number of years, given that there were no breaks in service? They say they’ll round it to 6 years, but I don’t feel I’m being treated fairly I’m the longest-serving team member.
    Ultimately it will depend what your employment terms were in the first three years, if you were directly employed, fixed term contracts etc..

    Their statutory position would either be five weeks pay, or eight weeks pay depending on that, they are currently offering you twelve weeks pay which seems to be quite generous, keep there in mind before you ask for 20-32 weeks pay.
    london21 said:
    A new manager started last year and has consistently treated me differently, offering little support. When I had surgery and was signed off for two weeks, they pressured me to return within a week, but I stood my ground. I also lost my father earlier this year while abroad. It’s been a lot to deal with recently.
    Unfortunately none of that is really relevant.

    My advice would be to check your employment status for the first few years and see how that would impact the redundancy, but a month per year is totally unrealistic considering that they only have to offer you a week. Remember that redundancy is tax free (up to £50k) and you are entitled to notice and holiday pay on top. 

    The other thing is to obviously start looking for jobs straight away, spend tomorrow updating your CV and LinkedIn and get applying.

    They said they're offering an enhanced package, but it's only enhanced by around £13,000—statutory is £3,000.

    Most people would consider more than four times what they are legally obliged to pay very generous...
    london21 said:
    The redundancy payment is tax-free, but the notice period and any unused holiday pay are taxable.
    Yes, that is how it works.
    london21 said:
    From what I understand, one month's pay per year of service is standard in the industry.
    That would be very generous, but I would also point out if it were standard then it would be in your contract.
    london21 said:
    My notice period is three months.
    You could ask for PILON so you do not have to work it, which sounds like something they may go for to get things over and done with quicker.
    london21 said:
    My manager clearly prefers my colleague, but that's their issue. I'm going to do my best to negotiate the maximum I can, especially with the end of the year and Christmas approaching.
    You have to remember that in a negotiation it usually requires both sides to have an element of strength. They have already offered you a significantly enhanced redundancy, you want to ask for more than four times what statutory is, they could just decide that you are being unreasonable, withdraw the enhanced offer and send you out the door with statutory. Unfortunately they hold all the cards.
    london21 said:
    I started on a four-month fixed-term contract, then continued contracting for two years before becoming a permanent employee. I've now been permanent for five years and nine months.
    london21 said:

    Just found out that continious employment although i started as a contractor in 2017 there has been no break when i got made permanent. Start date (continuous service): April 2017

    • At risk date: October 2025
    • Length of service: 8½ years (approx.)

    So, if your redundancy pay is being calculated, it should reflect 8 years’ service, not just the time since you became permanent.

    Your employer must treat your service as continuous because there was no break between the fixed-term and permanent contracts.
    This is explicitly covered under Section 218 of the Employment Rights Act 1996 and is reinforced by ACAS and GOV.UK guidance.

    The second section seems AI generated so I would be somewhat wary. As I said it depends on your employment status and the specifics of that, being a "contractor" means nothing. If you were PAYE then apart from a few scenarios, the main one being your contracting was via a third party employer then yes, it would count, however if you were not PAYE then it almost certainly would not apply. What was your employment status?
    london21 said:
    Wonka_2 said:
    Negotiation is possible but depends on your value/cost to the business. 

    Given your previous posts/salary comments I’d not be expecting them to consider doubling their offer (which already seems to be double the requirement)

    Are they paying your notice period as well ? And how long is that ?

    Whilst you can ask for the 4wks per year you need to decide the worth of this vs your other asks e.g inclusion of yrs service pre-contract, redundancy/re-employment support, entitlement to bonus for current year etc etc
    notice period is 3 months will be a payment in lieu of notice and the beenfits and pension will stop from the date they gave like 2 weeks time.

    statutory is around 3k enhanced like 16k but this is 6 years of service altogether over 8 years if the contract and permanent periodi is added together. 
    So regardless of your actual length of service they are already offering you many times what they need to. You have no cards to negotiate with, they hold them all.

    The best thing to do is to get applying for new jobs, get a new job fairly quickly and then the £16k is a nice tax free bonus, with a new job and a new start.

    Thanks for the response, i have started applying.
    In 2016 I got month for each year when role moved to Poland.
    I have been singled out here to will negotiate for a better offer.
    Redundancy is not in the contract I have checked. 
    Yes, it is went in on Wednesday manager and HR were waiting for me by the lift. PILON not currently working, trying to get another role but not sure what the economy and job market is like now considering last quarter.

    I will take it to tribunal because it was predetermined and unfair. I have protective rights such as disability etc. I will request for SAR and email the CEO.

    Yes, I am using AI, google and ACAS as this is new only found out on Wednesday. I have been in continuous employment since April 2017 started as a 4 month contractor then became permanent when IR35 started, no break since December 2019.

    Sounds good but 16k is not much in reality considering my contribution and how things have unfolded. Even my previous colleagues are all shocked and one has even given me a good lawyer used before.  

    That is not how things work I am the longest serving team member, new manager started last year and has not been supportive. 2 new permanent staffs and 2 fixed contract staffs hired. The decision was made between me and another colleague but the consultation is this week. The decision has been made already. why, if there were two possible candidates for one role, we weren't both put at risk and invited to apply for it. 


  • london21
    london21 Posts: 2,186 Forumite
    1,000 Posts Fourth Anniversary Name Dropper
    Wonka_2 said:

    They said they're offering an enhanced package, but it's only enhanced by around £13,000—statutory is £3,000.

    The redundancy payment is tax-free, but the notice period and any unused holiday pay are taxable.

    From what I understand, one month's pay per year of service is standard in the industry.

    My notice period is three months.

    Not sure your maths is mathing ? What else is included in the ‘package’ to move it from £3k to £13k ?

    if 1 month per year is standard this should have been negotiated as part of your contract on joining - it’s too late now 

    And if the notice period is 3 months then any benefits should continue for that period 
    No the higher amount is without prejudice. giving estimates. The amount currently is 2 weeks for every year. Notice is 3 months but the contract is ending in 2 weeks. payment in lieu of notice.
  • london21
    london21 Posts: 2,186 Forumite
    1,000 Posts Fourth Anniversary Name Dropper
    Wonka_2 said:

    They said they're offering an enhanced package, but it's only enhanced by around £13,000—statutory is £3,000.

    The redundancy payment is tax-free, but the notice period and any unused holiday pay are taxable.

    From what I understand, one month's pay per year of service is standard in the industry.

    My notice period is three months.

    Not sure your maths is mathing ? What else is included in the ‘package’ to move it from £3k to £13k ?

    if 1 month per year is standard this should have been negotiated as part of your contract on joining - it’s too late now 

    And if the notice period is 3 months then any benefits should continue for that period 
    Not sure it is common that you get a role you will be negotiating redundancy package? 
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