Hypothetical situation about redundancy and phoenixing
Discussion
Hi all
I work for a company which has just put me, and all but 1 of the employees onto furlough (approx 25ish other staff).
I have a niggling feeling that there is a strong chance of heavy redundancies at the end of this virus situation, or maybe even worse - the company goes under.
My contract says that I get paid 3 months in full if I leave, for any reason. I specifically states examples such as: redundancy, company goes under etc.
My question is: can the company avoid this if they close the doors? I know the contract says I get paid, but surely if the company is folded, it no longer exists. Do I have a right or claim to any assets the company has?
Same as above, but what about if the company is phoenixed? They did this after the 2008 crash. They went under, and started up again the next day. What happens to the assets in those cases? Obviously, they are brought across, but if I was not employed by the new place, would I have a right to payment, or any legal route to getting paid?
I stress, this is a purely hypothetical question at the moment, but I am switching my entire thinking into "disaster management" mode, and planning for various "what ifs"
Thanks
I work for a company which has just put me, and all but 1 of the employees onto furlough (approx 25ish other staff).
I have a niggling feeling that there is a strong chance of heavy redundancies at the end of this virus situation, or maybe even worse - the company goes under.
My contract says that I get paid 3 months in full if I leave, for any reason. I specifically states examples such as: redundancy, company goes under etc.
My question is: can the company avoid this if they close the doors? I know the contract says I get paid, but surely if the company is folded, it no longer exists. Do I have a right or claim to any assets the company has?
Same as above, but what about if the company is phoenixed? They did this after the 2008 crash. They went under, and started up again the next day. What happens to the assets in those cases? Obviously, they are brought across, but if I was not employed by the new place, would I have a right to payment, or any legal route to getting paid?
I stress, this is a purely hypothetical question at the moment, but I am switching my entire thinking into "disaster management" mode, and planning for various "what ifs"
Thanks
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