Redundancy help please...
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Shannon Mac

Original Poster:

126 posts

207 months

Sunday 13th February 2011
quotequote all
A very close friend of mine has just been informed her company is going into 90 days consultancy.

Now, she wants to use her redundancy payment to start her own business. Trouble is if she waits the full 90 day plus what ever extra they tag on the end she will miss the boat for important events during the spring and summer this year to boost her new business.

I've been googling around and not found any firm answers on this, but is there a way for her to leave the company during the 90 days with her full redundancy payment? Special circumstances perhaps?

The site she works at is definately closing, but there is a possibility she may be offered another job within the company elsewhere. But she cares for her husband when she's not at work, and where her work is right now it means she can pop home for lunch and if ever he needs her during the day she can be home in less than 5 mins. Working further afield is just not going to work. Would you say this is a reasonable reason for turning down the offer of another job elsewhere in the company? There's a bit more to it than that, but that's the gist of it.

I'm hoping I can give her some positive news as she is understandably a bit upset at the moment. 18 years she has devoted to the company frown

fieldl

1,320 posts

259 months

Sunday 13th February 2011
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Have they not asked for people to volunteer?
If not then she should. That way she might be able to leave sooner.

GeraldSmith

6,887 posts

245 months

Sunday 13th February 2011
quotequote all
Shannon Mac said:
A very close friend of mine has just been informed her company is going into 90 days consultancy.

Now, she wants to use her redundancy payment to start her own business. Trouble is if she waits the full 90 day plus what ever extra they tag on the end she will miss the boat for important events during the spring and summer this year to boost her new business.

I've been googling around and not found any firm answers on this, but is there a way for her to leave the company during the 90 days with her full redundancy payment? Special circumstances perhaps?
No, the 90 day period is part of the process when there are 100 or more people involved. If they are shutting the site then voluntary is unlikely, she has to sit it out if she is going to get a payment.
Shannon Mac said:
The site she works at is definately closing, but there is a possibility she may be offered another job within the company elsewhere. But she cares for her husband when she's not at work, and where her work is right now it means she can pop home for lunch and if ever he needs her during the day she can be home in less than 5 mins. Working further afield is just not going to work. Would you say this is a reasonable reason for turning down the offer of another job elsewhere in the company? There's a bit more to it than that, but that's the gist of it.
It depends on her contract, whether than provides for her being transferred elsewhere. Assuming it doesn't then she should be able to turn down the offer and take redundancy
Shannon Mac said:
I'm hoping I can give her some positive news as she is understandably a bit upset at the moment. 18 years she has devoted to the company frown
Redundancy is upsetting, I could question whether anyone really 'devotes' time to a company so much as works there because for all sorts of reasons it suits them to do so, but that wouldn't be helpful :-)

Bonefish Blues

36,015 posts

251 months

Sunday 13th February 2011
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This is something to explore during the consultation process.

AIUI the site's definitely closing - everyone know that. Presumably it will be tapering down during the process, and the requirements for staffing will reduce..

The employer could be pedantic and require everyone to stay for the full 90 days.

Alternatively they could do what many do in this unfortunate circumstance, which is to allow people to go earlier in the process with their redundancy payment, in exchange for their waiving their legal right to 90 days consultation, usually by means of a Compromise Agreement. Employer saves some of the wage bill this way, since they don't pay for the remainder of the unworked consultation period.

One to ask the employee representatives to explore during the consultation process, I suggest.

fergywales

1,624 posts

222 months

Sunday 13th February 2011
quotequote all
Bonefish Blues said:
This is something to explore during the consultation process.

AIUI the site's definitely closing - everyone know that. Presumably it will be tapering down during the process, and the requirements for staffing will reduce..

The employer could be pedantic and require everyone to stay for the full 90 days.

Alternatively they could do what many do in this unfortunate circumstance, which is to allow people to go earlier in the process with their redundancy payment, in exchange for their waiving their legal right to 90 days consultation, usually by means of a Compromise Agreement. Employer saves some of the wage bill this way, since they don't pay for the remainder of the unworked consultation period.

One to ask the employee representatives to explore during the consultation process, I suggest.
This.

It is in the interests of the company in carrying out the consultation period to explore all avenues, including options raised by staff covered in the consultancy. It would be best for the employee to wait until they have their individual consultation however, as, should they express a desire to leave they can be offered a significantly reduced package which is legal because the employee agrees to waive their rights.