Redundancy

[sparky121]

Hi since the company i work for got took over the other day i have just been offered voluntary redundancy can any one tell me the difference regarding voluntary and normal redundancy with regards to rights benefits etc thanks .

[elche]

A benefit specialist may be able to advise on rights to benefits after redundancy.

 

In terms of employment law only accept vol red if you will receive a more advantageous package than you would under the statutory redundancy scheme / any contractual scheme.

 

If you accept vol red voluntarily you will not be able to sue for unfair dismissal as in theroy it is a process you intiated by asking to be made redundant.

 

Calculate your stat red payment here: Ready Reckoner for calculating the number of weeks' pay due - BERR

 

Add to that notice pay, accrued holidays etc

 

If your not offered more than that tell them to stick their vol red where the sun don't shine!

[Ell-enn]

Also, if you have any payment protection insurance it won't pay out if you take VR.

[pompeyfaith]

I would recommend you read this first because if your company was takin over by another employees have rights called T.U.P.E TRANSFER OF UNDERTAKINGS basicly the company that took over the business as a duty to take the staff also if they cant because of say operational reasons then they have to offer you a compensation package.

 

You will find all the info on this government act in the following links.

 

http://www.berr.gov.uk/files/file20761.pdf

 

CIPD - Transfer of undertakings (TUPE)

 

Acas - Transfer of undertakings (TUPE)

 

Business transfers and takeovers (TUPE) : Directgov - Employment

 

hope this all helps

 

Regards

 

Pompeyfaith

[elche]

I basicly the company that took over the business as a duty to take the staff also if they cant because of say operational reasons then they have to offer you a compensation package.th

 

Dismissals where the sole or principal reason is the transfer or a reason connected with the transfer and there is no ETO (Economic, techincal or organisational) reason = automatically unfair

 

Dismissal that is only connected with the transfer and there is an ETO reason are potentially fair subject to normal test of reasonableness in s98(4) ERA 1996

 

I think it is correct to say that such dismissals (if fair) will be viewed as either redundancy or SOSR. I'm not aware of any special compensation package payable.

[pompeyfaith]

i did not say "special" i have been though T.U.P.E myself in september 2007 and the business that took over had to take us to for which i was offered employment but was forced out due to the fact the company was in middlsex and i lived on the south coast and they where not prepared to pay the travelling cost company i previously work at was in my area and they provided a minibus so what im getting at because the travel i.e minibus was in contract the next employer had to provide it but as he was not going to they made us redundant and paid out for 12 yrs service plus holidays not taken plus an ex gratia payment which yes was over and above what he had to do.

[elche]

No indeed you did not say 'special' by 'compensation package' you obvioulsy meant 'redundancy package', which is of course entirely correct; assuming the employee has over two years service (including service at the old company) at the time of dismissal of course.

 

There would of course be no 'duty' on the employer to pay anything beyond notice pay (subject to more generous contractual provisions) if an employee with less than 2 years service was fairly dismissed for an ETO.

Edited August 6, 2008 by elche286