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  • FIRST POST
    • rocketqueen
    • By rocketqueen 10th Jan 19, 5:46 PM
    • 113Posts
    • 541Thanks
    rocketqueen
    Pay in lieu of notice
    • #1
    • 10th Jan 19, 5:46 PM
    Pay in lieu of notice 10th Jan 19 at 5:46 PM
    Just found out I’m going to be made redundant in 4 weeks time, had consultation today and they mentioned they are going to inform me of the redundancy payment at a later date.

    Employer has also said they will give us all 1 months pay in lieu of notice, but I have just seen on the Gov.uk website that they are meant to pay 1 weeks notice for each year of employment - I have been there 11 years.

    My employment contract says that employment can be terminated by 1 months notice so does this mean that they do not have to pay the notice pay mentioned above?

    Sorry if this doesn’t make sense, I’m finding it all very stressful and confusing!
Page 1
    • Masomnia
    • By Masomnia 10th Jan 19, 6:19 PM
    • 17,693 Posts
    • 39,394 Thanks
    Masomnia
    • #2
    • 10th Jan 19, 6:19 PM
    • #2
    • 10th Jan 19, 6:19 PM
    Yep, 11 weeks.
    “I could see that, if not actually disgruntled, he was far from being gruntled.” - P.G. Wodehouse
    • TadleyBaggie
    • By TadleyBaggie 10th Jan 19, 9:16 PM
    • 3,157 Posts
    • 2,425 Thanks
    TadleyBaggie
    • #3
    • 10th Jan 19, 9:16 PM
    • #3
    • 10th Jan 19, 9:16 PM
    You are entitled (statutory) to 1 weeks payment for every year you have worked there, so 11 weeks. On top of this you will receive 1 months PILON. So you will leave immediately and not have to work a notice period.

    It could be that the redundancy payment terms is better than statutory, that's up to the company. I was made redundant twice and both times I was paid 1 month for every year I worked there. The second time I also got 3 months PILON as well.
    • headpin
    • By headpin 10th Jan 19, 9:18 PM
    • 690 Posts
    • 356 Thanks
    headpin
    • #4
    • 10th Jan 19, 9:18 PM
    • #4
    • 10th Jan 19, 9:18 PM
    They need to give you 11 weeks or pay in lieu thereof, but you only need to have given them one months notice.

    How many people are affected and how many employees does your company have? This affects what your company should be doing. If over 20 (from memory) are affected then there should be a minimum 90 day(again from memory) consultation process. And, if you hve only found out today how did they select those to be made redundant, assuming that the company has not just ceased trading? There needed to be a process that is fair and equitable and/or specific criteria on making people redundant need to be met.

    You need to consult your union or trade representative or otherwise speak to Citizens Advice or similar to get your rights and entitlements explained to you.
    Last edited by headpin; 10-01-2019 at 9:24 PM.
    • getmore4less
    • By getmore4less 10th Jan 19, 10:18 PM
    • 35,007 Posts
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    getmore4less
    • #5
    • 10th Jan 19, 10:18 PM
    • #5
    • 10th Jan 19, 10:18 PM
    You are entitled (statutory) to 1 weeks payment for every year you have worked there, so 11 weeks. On top of this you will receive 1 months PILON. So you will leave immediately and not have to work a notice period.

    It could be that the redundancy payment terms is better than statutory, that's up to the company. I was made redundant twice and both times I was paid 1 month for every year I worked there. The second time I also got 3 months PILON as well.
    Originally posted by TadleyBaggie
    You don't double dip, the statutory would replace the wrong contractual notice.
    • rocketqueen
    • By rocketqueen 11th Jan 19, 6:30 PM
    • 113 Posts
    • 541 Thanks
    rocketqueen
    • #6
    • 11th Jan 19, 6:30 PM
    • #6
    • 11th Jan 19, 6:30 PM
    Thank you all 😀

    Headpin- everyone at one particular site is affected, we are all being made redundant and the site will be closed. The company have other sites but nothing remotely close by for relocation purposes. Approx 45 staff being made redundant.

    I did wonder about the 90 day thing, but as we are all being made redundant I wasn’t sure if it applied (as we have all been treated the same and no selection for redundancy has taken place.)

    I will go to the citizens advice and ask them I think, as I am completely lost with all this.
    • getmore4less
    • By getmore4less 11th Jan 19, 6:42 PM
    • 35,007 Posts
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    getmore4less
    • #7
    • 11th Jan 19, 6:42 PM
    • #7
    • 11th Jan 19, 6:42 PM
    Statutory consultation will be 30 days.
    • kazmeister
    • By kazmeister 12th Jan 19, 10:36 PM
    • 3,166 Posts
    • 52,858 Thanks
    kazmeister
    • #8
    • 12th Jan 19, 10:36 PM
    • #8
    • 12th Jan 19, 10:36 PM
    You should enter a consultation period, at the endo f which you should be given formal notification of your redundancy.

    You will be entitled to redundancy pay as here https://worksmart.org.uk/work-rights/losing-your-job/redundancy/i-have-been-made-redundant-what-payment-am-i-entitled

    and should either work your notice or be paid in lieu of notice (PILON) as here https://worksmart.org.uk/work-rights/losing-your-job/redundancy/does-my-employer-have-pay-wages-full-during-my-notice-period


    Links from Worksmart part of the TUC
    Lost my wings, need to learn to fly again
    • Just Passing Bi
    • By Just Passing Bi 24th Jan 19, 2:46 PM
    • 309 Posts
    • 28 Thanks
    Just Passing Bi
    • #9
    • 24th Jan 19, 2:46 PM
    • #9
    • 24th Jan 19, 2:46 PM
    Thread very similiar to our current position.

    If an employee (41+) has been with a company 15 years, do they get 15 years redundacy pay = 1.5 weeks pay for every years service, or is it capped at 12 weeks?

    COE is 4 weeks, employee has now been given notice, although the employer has requested the employee remains working for the company until final day i.e , in 4 weeks time, therefore, will there be any PILON?

    Also, the company will only pay whats's statutory
    • General Grant
    • By General Grant 24th Jan 19, 3:04 PM
    • 872 Posts
    • 892 Thanks
    General Grant
    Thread very similiar to our current position.

    If an employee (41+) has been with a company 15 years, do they get 15 years redundacy pay = 1.5 weeks pay for every years service, or is it capped at 12 weeks?

    COE is 4 weeks, employee has now been given notice, although the employer has requested the employee remains working for the company until final day i.e , in 4 weeks time, therefore, will there be any PILON?

    Also, the company will only pay whats's statutory
    Originally posted by Just Passing Bi
    If they have been an employee for more than 12 years then their statutory notice period is capped at 12 weeks. If they are required to work for only 4 weeks of that notice period, then they are due to be paid for the additional 8 weeks.
    • Just Passing Bi
    • By Just Passing Bi 24th Jan 19, 3:47 PM
    • 309 Posts
    • 28 Thanks
    Just Passing Bi
    Thanks,
    If they are required to work for only 4 weeks of that notice period, then they are due to be paid for the additional 8 weeks.
    Originally posted by General Grant
    Ah, as as the contact is 4 weeks notice period either side, I was assuming they only had to pay 4 weeks notice (which is the period required to work)

    If I've understood correctly, 12 weeks redundacy pay + 8 weeks PILON
    • p00hsticks
    • By p00hsticks 24th Jan 19, 4:02 PM
    • 6,780 Posts
    • 7,414 Thanks
    p00hsticks
    Thread very similiar to our current position.

    If an employee (41+) has been with a company 15 years, do they get 15 years redundacy pay = 1.5 weeks pay for every years service, or is it capped at 12 weeks?

    COE is 4 weeks, employee has now been given notice, although the employer has requested the employee remains working for the company until final day i.e , in 4 weeks time, therefore, will there be any PILON?

    Also, the company will only pay whats's statutory
    Originally posted by Just Passing Bi
    You are getting the cap for redundancy payments and notice periods muddled.

    Statutory redundancy payment is capped at 20 years service
    https://www.gov.uk/redundant-your-rights/redundancy-pay

    Also note that the payment of one and half weeks per year served is only for full years where the employee is aged 41 or over - so won't apply to someone aged 41 now. And it i only for those years served when the employee was over 41 - for any where they were under 41 the statutory entitlement is a week for each year served.

    Statutory notice period is capped at 12 weeks.
    https://www.gov.uk/redundant-your-rights/notice-periods


    So a 41 year old employee with 15 years service who is given four weeks notice is also entitled to eight weeks PILON, as well as 15 weeks redundancy pay.
    Last edited by p00hsticks; 24-01-2019 at 4:06 PM.
    • Just Passing Bi
    • By Just Passing Bi 24th Jan 19, 4:44 PM
    • 309 Posts
    • 28 Thanks
    Just Passing Bi
    Cheers, I think I've got it,

    Post 41 years = 11 years at 1.5 weeks redunancy pay

    Pre 41 years = 1 week pay for evey years service.

    In addition to redundancy pay above, + 8 weeks at PILON.
    • p00hsticks
    • By p00hsticks 24th Jan 19, 7:07 PM
    • 6,780 Posts
    • 7,414 Thanks
    p00hsticks
    Cheers, I think I've got it,

    Post 41 years = 11 years at 1.5 weeks redunancy pay

    Pre 41 years = 1 week pay for evey years service.

    In addition to redundancy pay above, + 8 weeks at PILON.
    Originally posted by Just Passing Bi

    That doesn't add up - in your initial post (#9) you said that the person had 15 years service, you now suggest it's only 12 ?
    And you now imply that the emplyee was aged 40 when they started the employment - is that correct?
    • Just Passing Bi
    • By Just Passing Bi 24th Jan 19, 7:17 PM
    • 309 Posts
    • 28 Thanks
    Just Passing Bi
    That doesn't add up - in your initial post (#9) you said that the person had 15 years service, you now suggest it's only 12 ?
    And you now imply that the emplyee was aged 40 when they started the employment - is that correct?
    Originally posted by p00hsticks
    Hi sticks

    sorry for the confusion

    they started aged 37, now 52 years old, been with employer 15 years

    I assume they don't get 15 years redundancy pay only 12 as a maximum
    • getmore4less
    • By getmore4less 24th Jan 19, 7:47 PM
    • 35,007 Posts
    • 21,375 Thanks
    getmore4less
    Hi sticks

    sorry for the confusion

    they started aged 37, now 52 years old, been with employer 15 years

    I assume they don't get 15 years redundancy pay only 12 as a maximum
    Originally posted by Just Passing Bi
    Pay for some proper legal advice.

    You are not getting the basics on redundancy or notice.
    • p00hsticks
    • By p00hsticks 24th Jan 19, 9:25 PM
    • 6,780 Posts
    • 7,414 Thanks
    p00hsticks
    I assume they don't get 15 years redundancy pay only 12 as a maximum
    Originally posted by Just Passing Bi
    Why ? As I said in my first post (#12) the cap on redundancy pay is 20 years. not 12.

    I suggest you have a look through the links I gave in that post
    • Just Passing Bi
    • By Just Passing Bi 25th Jan 19, 11:54 AM
    • 309 Posts
    • 28 Thanks
    Just Passing Bi
    the cap on redundancy pay is 20 years. not 12
    Originally posted by p00hsticks
    My bad I was confusing 12 weeks notice equal to redundancy years,

    On Google

    Redundancy notice periods

    If your employer has selected you for redundancy you must be given a notice period before your employment ends. The statutory redundancy notice periods are:

    at least one week’s notice if you have been employed between one month and two years

    one week’s notice for each year if employed between two and 12 years

    12 weeks’ notice if employed for 12 years or more
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