Any Employment Law specialists?

[D_T_W]

I need some questions answered regarding redundancy.

Can somebody give me an idea of the redundancy prcedure for an employee who has worked at a company for 15 months?
I got pulled in yesterday to be told there was a likely chance i will be made redundant fairly soon, i just need to know what my rights are regarding redundancy payment (if any), what notice period they can give.
It wasn't made clear if i was the only person to be made redundant, it's a fairly large company (around 700 employees), but there has been no real mention of redundancys anywhere else.

Just trying to find out where i stand as i'm supposed be be having another meeting on Monday regarding what my options are.

Be much obliged for any help anybody could give

Edited by D_T_W on Friday 8th February 11:24

[D_T_W]

I've found a bit of info, but i'm after something resonably simple and concise that i can have a look at and understand what i'm going into, the ACAS stuff is more aimed at group redundacies rather than single person.

I'll keep looking though, thanks for the advice

[D_T_W]

Thanks for some of the suggestions. Had another meeting today with the manager, and it comes across as if they are desperate to get trid of me. They say there will be other redundancies at the end of the month, all following the consultation process, however they have chosen to give me prior warning of it and are offering a redundancy package far above what i should be getting. They've even offered to pay my legal fees regarding the compromise agreement they want to put it place, however they are pressuring me into a decision ASAP (i was only told about it on Thursday, they want a decision by tomorrow).

I don't know what it is, but i just get the feeling they are trying to get rid of me. It all seems very cloak and dagger at the moment, which for somebody who is as unimportant as me i don't understand!

[D_T_W]

But the point i'm trying to make is, they seem very keen to get me to sign a compromise agreement, and take what appears to be voluntary redundancy, rather than let me go through the consultation period. They have basically said i can take a cash lump sum now and just leave, or go through the normal procedure and get bugger all. So far it's all been "informal chats" (ie no HR involved)

I know which option i'm taking, it's just that it seems a little odd that i have been singled out for special treatment.

[D_T_W]

apguy said:

D_T_W said:

They've even offered to pay my legal fees regarding the compromise agreement they want to put it place, however they are pressuring me into a decision ASAP (i was only told about it on Thursday, they want a decision by tomorrow).

After 14 months service, if they offer a compromise agreement then grab it.

A compromise agreement is exactly what it says on the tin. You negotiate a set of compromises (how much gardening leave, pay, etc) and in return you promise not to sue the firm for unfair dismissal etc.

Normally a compromise agreement is used when a firm does not wish to follow normal redundancy, dismissal or employment tribunal routes. The firm may use this for a number of reasons:
1. It's quick
2. They may feel they are on sticky ground legally.
3. It can offer the employee and employer a win/win scenario

A compromise agreement doesn't mean you have done anything wrong, it just means the company wants you out quickly and cleanly and is prepared to pay for the privilege. Be prepared to negotiate for stuff like: payment in lieu of notice, references for future employer, redundancy payment...

Edited by apguy on Tuesday 12th February 13:59

They've already offered a full reference, along with honouring my full notice period and the redundancy payment. I'm just out of another brief meeting where i was again asked to be quick with my decision. I know something isn't quite right, but i don't think hanging on for the consultaion period is an option now i've thought about it.
I suspect they just want rid of me, for whatever reason. I suspect there will be no other rundundacies come the end of the month, but i think it would be foolish to pass on the opportunity of a decent redundancy payment.

Thanks for the advice all, i'm trying to get a meeting with a pal of mine who is an specalist in employment law this week to be my representitive.

Cheers

[D_T_W]

I can't go much higher, the guy that told me is 3rd from the top!

HR do know what the situation is, as according to the director i've spoken to "it has been a decision at senior level", which would include the HR director.

I don't understand why i'm being singled out for special treatment if there will be several redundancies and they could get away with paying me nothing. The only logical answer is that i'm the only one going, so they're trying to sweeten me up and just get rid of me.

I'm refusing to be pressured into making a decision though, however do i really want a drawn out court case where i could walk away with nothing? There is no way i'll walk out into another job that pays what i earn now, or has the potential future prospects. But they are offering me 2 months salary as my redundancy package, along with any legal fees i incur.

I have to admit, i'm at a bit of a loss as to what to do. The sensible option would be take the redundancy money and go, but part of me says take them for all they are worth.

Signed

[D_T_W]

tobeee said:

If you decide to go now, you probably won't need any costly legal advice. So, they are offering two months payment (taxed presumably) to go now. If you're on, say, £50K, that means about £4K cash in your pocket (rough figures obviously!). If you decide to decline their kind offer, and they begin the formal redundancy process immediately, it'll be one month consultation, plus one month notice. Two months total. So, the only difference is that by going now you'll get two months holiday; Cling on and you'll get at least two months work, depending how long it takes them to initiate the Consultation process. The likelihood is also that, if they REALLY want you out, they'll offer a lot better settlement when you reject this current offer. I'd definitely stay and enjoy the ride - you might actually find out a bit more as to why this is happening to you. Keep us informed!

Sadly, i'm not on £50k
If i stay for the full consultaion/notice period, i'd lose out on a months salary, due to the fact that i still have my full notice to serve, whereas if i stayed i would have consulation period + notice period, only adding an extra month. They haven't issued a formal redundancy offer yet, it's all been "informal" chats.

My plan today is have a word with the director, basically stating having spoken to various sources/legal advisors, it seems the company wishes to end the development programme i'm on early, resulting in my termination from employment and is not a redundancy. If this is the case, can we discuss the reasons behind this (performance, attitude), and then come to some sort of compromise.
If not, i'll just have to go through the consultation period and walk away with nothing

[D_T_W]

Well, i had a brief chat with the HR manager to try and get a clearer picture of what is going on, and express my desire to formalise the process from "informal" to getting it all in writing.
Needless to say i wasn't all that surprised when i was told that she didn't actually know what i had been told up to that point, and was unsure of how to procced as she basically didn't have a clue (i was told that HR were aware of the "informal discussions going on with me).

I've now spoken to a solicitor, who has advised me to sit tight and keep my mouth shut until the company comes back to me with some sort of formal offer because until then they are on very shakey ground. I don't want to go down the route of a court case against the company, as i would have to be 100% sure i could win. However, my solicitor is happy to go through everything with me, and once he has a clear understanding of the circumstances and what the comapny is offering and their actions to date, he can then decide of court action is a suitable route to follow.

Cheers for the advice from everybody, much obliged

[D_T_W]

Well, i've finally got the compromise agreement. Still to get my lawyer to look over it, but from the advice i had so far it appears to be the best offer i'm going to get. Downside is if i sign it, i'm out of a job next week, as despite them saying they would honour my notice period, the agreement cancels that out.

Oh. Bugger.

[D_T_W]

apguy said:

D_T_W said:

Downside is if i sign it, i'm out of a job next week, as despite them saying they would honour my notice period, the agreement cancels that out.

Oh. Bugger.

Am I reading this right? You have been offered a compromise agreement and thought that you would be working your notice period? If you read my original response its because your firm wants rid.
Nothing to do with whether it's your fault or theirs, they just want you gone. That *always* means that with a compromise agreement you leave. No notice period, no farewell party, no gold watch. You leave. End of.

However. What should be in your compromise agreement is details of how much they are paying you in lieu of your notice period, on top of any other financial incentives. They can't side-step this.

Ensure your lawyer is an appropriately qualified HR bod. Its a minefield out there. (Wifey is Chartered MCIPD qualified - google it for details)

Yes you're reading it right. I asked during initial discussions if the company was willing to honour my notice period, to which they replied yes. As yet, i have only been offered the redundancy payment, with no payment in lieu of notice. The original discussion with the MD was that i would work my notice period if i signed the compromise agreement.

Hope that clears that up.

My lawyer is not a specialist in employment law, however the firm he works for does so any decisions or review that need to be done are passed through them.