Redundancy delayed and negotiation assistance needed please
Discussion
Hi Folks,
I was being made redundant on the 1st April 2016, on the sale of an asset my company manages. There was a three months tax-free pay off for me on this date. There was nothing on paper - it was just a gentleman's agreement. He is an honest and straight forward guy so I had no concern.
My FD advised me yesterday that I will not be made redundant on the 01/04/16 as discussed as the asset is not sold. They do want to keep me on however he can not confirm a last day for me. It could be June or even at the end of the year. He has no idea. It leaves me hanging!
I informed him that I need 3 months notice to find a job and I need the three months payment to be on paper too. He agreed these two points.
On a separate note I am in the middle of interviewing for a role paying 10% more salary. There is a fair chance I will be offered the role.
The issues are I need to stay on for the pay off at the end of the role, it is a considerable amount of money for me, also I do not want to be working for less than I can earn elsewhere. That said I have received a pay-rise of £9k in January. I have said I want to be in the bonus scheme, i.e. I dont want to work for half a year and exit without a bonus! The FD seemed okay with that and said they need to make an arrangement.
What is the best approach to take in discussing terms with my employer. As you can imagine it is tricky. Am I being to focused on increasing my salary. Should I just focus on getting the terms right for my exit, i.e. notice period of 3 months, 3 months payment on exit and a bonus too.
It is a shame... I am interviewing for a great role. I would have taken it if I was not in this situation above. I dont want to be in my current job as it has no long-term job prospects but the money incentive is keeping me tied in.
Thanks folks.
I was being made redundant on the 1st April 2016, on the sale of an asset my company manages. There was a three months tax-free pay off for me on this date. There was nothing on paper - it was just a gentleman's agreement. He is an honest and straight forward guy so I had no concern.
My FD advised me yesterday that I will not be made redundant on the 01/04/16 as discussed as the asset is not sold. They do want to keep me on however he can not confirm a last day for me. It could be June or even at the end of the year. He has no idea. It leaves me hanging!
I informed him that I need 3 months notice to find a job and I need the three months payment to be on paper too. He agreed these two points.
On a separate note I am in the middle of interviewing for a role paying 10% more salary. There is a fair chance I will be offered the role.
The issues are I need to stay on for the pay off at the end of the role, it is a considerable amount of money for me, also I do not want to be working for less than I can earn elsewhere. That said I have received a pay-rise of £9k in January. I have said I want to be in the bonus scheme, i.e. I dont want to work for half a year and exit without a bonus! The FD seemed okay with that and said they need to make an arrangement.
What is the best approach to take in discussing terms with my employer. As you can imagine it is tricky. Am I being to focused on increasing my salary. Should I just focus on getting the terms right for my exit, i.e. notice period of 3 months, 3 months payment on exit and a bonus too.
It is a shame... I am interviewing for a great role. I would have taken it if I was not in this situation above. I dont want to be in my current job as it has no long-term job prospects but the money incentive is keeping me tied in.
Thanks folks.
Okay, I think you are right. Lets be open.
I am currently on £64k. My payment on my last day would be £16k (no tax). I would assume a bonus of 15% apportioned by the number of months I work in 2016 - should they agree with this and work out a way of doing this.
The new role, should I get it would be £70k with no bonus but it is a good opportunity to develop and grow.
I guess I think I would be giving up about 5-6 months salary on a higher base level... potentially more.
I am currently on £64k. My payment on my last day would be £16k (no tax). I would assume a bonus of 15% apportioned by the number of months I work in 2016 - should they agree with this and work out a way of doing this.
The new role, should I get it would be £70k with no bonus but it is a good opportunity to develop and grow.
I guess I think I would be giving up about 5-6 months salary on a higher base level... potentially more.
It's a simple value judgement really. Is the additional money and potential boredom worth the short term career stagnation? You have to take a call on it based on where you are in your career amongst other factors. I also decided to stay and see through a significant project. It was good for my CV, it felt good knowing they wanted me to stay tonnage the transition, and the incentive was significant and there was little or no negative impact on my career. It also allowed me to take some time out and not be under any real pressure to jump into another role.
I would take the new job.
You ARE going to be made redundant at some point. In a week or in a year.
You have secured a new job on more money with what sounds like an opportunity to earn a lot more.
Do the sensible thing.
£15k tax free sounds great but that wouldn't last you long if you can't get another job and end up using it for 2 or 3 months to live off.
You ARE going to be made redundant at some point. In a week or in a year.
You have secured a new job on more money with what sounds like an opportunity to earn a lot more.
Do the sensible thing.
£15k tax free sounds great but that wouldn't last you long if you can't get another job and end up using it for 2 or 3 months to live off.
A sincere thank you all for your time and response.
I am surprised by the response, everyone has said leave my current role and move on with a new job. This shows how wider support is quite important.
With my current role the exit terms would be 3 months notice and £16k which is as pointed out above by bearman68 about 4 months worth of net salary, in other words this is 7 months worth of salary which will allow me a considerable amount of time to secure a new job.
I was leaning on staying on but now I am thinking leaving is the best way forward...
I am surprised by the response, everyone has said leave my current role and move on with a new job. This shows how wider support is quite important.
With my current role the exit terms would be 3 months notice and £16k which is as pointed out above by bearman68 about 4 months worth of net salary, in other words this is 7 months worth of salary which will allow me a considerable amount of time to secure a new job.
I was leaning on staying on but now I am thinking leaving is the best way forward...
Edited by Lostprophet on Wednesday 27th January 10:33
Lostprophet said:
I was leaning on staying on but now I am thinking leaving is the best way forward...
Another recommendation for leaving. It always seems to be easier to get another well paid job when you are already in one. Once you have been made redundant, suddenly all the well paid jobs immediately disappear
Would your current employer be in the poo if you were to leave. Presumably with no prospects they'd be unlikely to be able to replace you so you might be able to pin them down.
Would the new employers wait for you if you were to explain to them your existing company can't manage without you? Bit of spin?
Would the new employers wait for you if you were to explain to them your existing company can't manage without you? Bit of spin?
elanfan said:
Would your current employer be in the poo if you were to leave. Presumably with no prospects they'd be unlikely to be able to replace you so you might be able to pin them down.
Would the new employers wait for you if you were to explain to them your existing company can't manage without you? Bit of spin?
Do not do this unless you have some very unique and in demand skills. In which case, go contracting.Would the new employers wait for you if you were to explain to them your existing company can't manage without you? Bit of spin?
Old employer is dicking you about, new employer is offering you a pay rise. There's a fable about a dog and a stream and a piece of steak.
My director did say they need me to manage the function and want me to stay on.
He did if I leave he will need an interim to file the role. That said it will be tough for them to pick up what I do. I think the company would like for me to stay on.
I completely agree, I do feel they are dicking me about, they said my exit was on the 1st of April and now it is deferred. Lesson learnt.. get things on paper.
He did if I leave he will need an interim to file the role. That said it will be tough for them to pick up what I do. I think the company would like for me to stay on.
I completely agree, I do feel they are dicking me about, they said my exit was on the 1st of April and now it is deferred. Lesson learnt.. get things on paper.
bearman68 said:
16k is about 4 months salary. How likely are you to get a 70k job in 4 months? Not hugely I would think. Take the new job.
This. So so this.I was made redundant 4 years ago. 2 years later I took a job that was about 52% of the package I was on. Even now 4 years on I'm still on 20% less of what I was back then.
Needs must.
Personally id have tried to deflect committing myself on the initial conversation about the changing of the redundancy date.
But it depends really on your relationship with your boss, you could just be honest with him, tell him your interviewing for a role (after being told your going to be redundant from april 1st) and if you get offered it you plan on taking it.
But it depends really on your relationship with your boss, you could just be honest with him, tell him your interviewing for a role (after being told your going to be redundant from april 1st) and if you get offered it you plan on taking it.
CubanPete said:
Unless your boss agrees to pay you contract rates, I'd be off to the new job.
What do you mean by contract rates?A couple of developments, I didn't get the 70k role, I guess I shouldn't count my chicks and all that. That said I am progressing to second stage interview with another role paying £75k plus bonus. Something will stick soon I think.
Also I spoke to my director on Friday and told him 3 months exit bonus isn't good enough, the risk of not having a job isn't worth a £16k tax free payment and being dicked about with the redundancy date isn't particularly fun. The whole process caused untold stress. I said I expect 5 months which is £27k and 3 months notice. My current salary is £64k. He said he will think about it and get back to me on Monday, which he didn't.
My view is if they don't offer the 5 months payment plus 3 months notice and I secure a good role paying £75k plus bonus plus benefits I will be off without any regrets.
Edited by Lostprophet on Wednesday 3rd February 18:35
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