Redundancy Question

[sammatty]

anonymous said:

[redacted]

Per my OP, 12 weeks redundancy (she is under 41 with 14 full years of service), Her service breaks down as 12 year full time, 9 month mat leave and then 18 month part time (2 days per week). I assume therefore that she still has an effective length of service of 14 years, capped to 12 for stat redundancy purposes?

The other 12 weeks are PILON on the basis that her boss wants this to be effective 1st Jan 2020, stat notice would be a further 12 weeks. I fully understand that if she were to be given appropriate notice, no PILON would be payable.

Please do feel free to correct any mis-calculations.

[vaud]

anonymous said:

[redacted]

I did - I factored £160 for 2 days. 2x8hours at £10/hr which was just a WAG. I was looking at stat redundancy and ignored notice.

Edit: I dont know how stat is calculated for the full time / part time mix.

IANAL.

[martinbiz]

anonymous said:

[redacted]

Having no contract makes not a jot of difference, redundancy notice is fixed at a maximum of 12 weeks pay depending on service, whether the working week is 2 days or 5 days is irrelevant, it is just a monetary amount

[A1VDY]

Dixy said:

I have never understood how salons get away with this rent a chair as being self employed.

Can't legally be done. With self employment income has to come from more than one source..

[bad company]

A1VDY said:

Dixy said:

I have never understood how salons get away with this rent a chair as being self employed.

Can't legally be done. With self employment income has to come from more than one source..

Which it would as she’d have income from several clients ie the who’s hair she does. There’s lots of other issues though:-

https://www.gov.uk/employment-status/selfemployed-...

[Sheepshanks]

anonymous said:

[redacted]

OP has explained correctly above - it's 12 + 12 weeks.

[Sheepshanks]

A1VDY said:

Dixy said:

I have never understood how salons get away with this rent a chair as being self employed.

Can't legally be done. With self employment income has to come from more than one source..

Quick Google suggests there's 100,000 hairdressers working like this.

As HMRC love to go for low-hanging fruit, they'd be all over it if it wasn't considered to be OK.

[Sheepshanks]

anonymous said:

[redacted]

From https://www.gov.uk/redundancy-your-rights/redundan...

"You’ll normally be entitled to statutory redundancy pay if you’re an employee and you’ve been working for your current employer for 2 years or more.

You’ll get:

half a week’s pay for each full year you were under 22
one week’s pay for each full year you were 22 or older, but under 41
one and half week’s pay for each full year you were 41 or older

Length of service is capped at 20 years."


The other 12 weeks is pay in lieu of notice - due to her service she should be given 12 weeks notice of redundancy.

[Roo]

anonymous said:

[redacted]

Yep.
Was clearly explained in the OP.

[Sheepshanks]

anonymous said:

[redacted]

Statutory notice period is in the next section of the link I provided. This will prevail as there's no contract - not that it could be less than this anyway.

It's not normal notice - it's notice of redundancy.

[BertBert]

anonymous said:

[redacted]

There is. Look up statutory notice period.

Also with no employment contract, pilon may not be subject to tax along with the redundancy pay.

[BertBert]

Just double checked and pilon is taxable. Istr it being non taxable if it wasn't contractual

[martinbiz]

Sheepshanks said:

anonymous said:

[redacted]

Statutory notice period is in the next section of the link I provided. This will prevail as there's no contract - not that it could be less than this anyway.

It's not normal notice - it's notice of redundancy.

Whether it is redundancy notice or normal notice following dismissal doesn’t actually make any difference. So if you were dismissed after say 15 years service you would be entitled to 12 weeks notice or pay in lieu, this is irrespective of your contractual notice period, unless of course your contractual period is longer then you would be entitled to that. It is not unusual for large companies to offer senior management employees up to a year contractual notice period, although this is often given in conjunction with a non competition agreement

Edited by martinbiz on Wednesday 11th December 22:36

[TCX]

Sheepshanks said:

A1VDY said:

Dixy said:

I have never understood how salons get away with this rent a chair as being self employed.

Can't legally be done. With self employment income has to come from more than one source..

Quick Google suggests there's 100,000 hairdressers working like this.

As HMRC love to go for low-hanging fruit, they'd be all over it if it wasn't considered to be OK.

That doesn't mean it won't change,hmrc are never,from my experience,in a rush to tackle any subject,the longer people 'think' they're getting away with sham self employment,the deeper the hole they end up in,hence some hgv drivers with £15+k back tax bills
Back to the op I would suggest having been made redundant recently acas,early conciliation as a starting point,get the ball rolling so hopefully the employer realises his duty,if not employment tribunal through them

[Jasandjules]

BertBert said:

Just double checked and pilon is taxable. Istr it being non taxable if it wasn't contractual

You were correct. Just that https://www.stoneking.co.uk/literature/e-bulletins...