Redundancy - Carillion

Author
Discussion

Sy1441

Original Poster:

1,116 posts

160 months

Wednesday 17th January 2018
quotequote all
I've a bit of experience having been made redundant personally 3 times however not quite in the same circumstances.

I have a friend who works for Carillion in a engineering / planning role with 10 years service. He was offered a slightly different job which was more appealing to him with another company prior to Christmas but turned it down as the package wasn't quite as good and he'd be giving up his tenure. Carillion obviously announced liquidation on Monday but he's had no information on what the future of his job looks like. Today by a stroke of luck the other business came back with an improved offer. He's obviously now going to accept this offer. As i'm sure most people would do he is keen to receive redundancy if possible so was wondering if anyone had any advice on what the best course of action would be?


craigjm

17,955 posts

200 months

Wednesday 17th January 2018
quotequote all
To get his redundancy payment he will have to be made redundant prior to accepting the new job. If he accepts the new job prior to being made redundant then he will be deemed to have resigned and not be entitled to any redundancy payment.

cavey76

419 posts

146 months

Wednesday 17th January 2018
quotequote all
Take the offer and run!

Sure the government will/may/might come through and not let Carillion completely fail BUT while they are under the umbrella of administration you can get let go with comparatively b*gger all. I worked for Nortel for 12 years plus, once they went into administration i was let go (as were many others) in 2009 with nothing but stat redundancy whereas my contract entitled me to half a years salary. Tis easier for an employer to shirk contractual responsibilities while in administration. I was ok being early 30s at the time but there were others on my site who might have worked their all their lives and would have been due significant payouts who ended up with 5-7K of stat redundancy.

In 2017, 8 years after being made redundant i got approx 40p in the pound of what i was owed.

Starfighter

4,927 posts

178 months

Wednesday 17th January 2018
quotequote all
Take the job. Any payout is likely to be at statutory minimums as there is no money left in the business and government will pick this up.
https://www.gov.uk/redundant-your-rights/redundanc...

craigjm

17,955 posts

200 months

Wednesday 17th January 2018
quotequote all
Starfighter said:
Take the job. Any payout is likely to be at statutory minimums as there is no money left in the business and government will pick this up.
https://www.gov.uk/redundant-your-rights/redundanc...
This. If he has been there 12 years he is looking at 5.5k. Is that really worth messing around a new employer for? He can probably start earlier now too so earn some of that 5.5k back

krisdelta

4,566 posts

201 months

Wednesday 17th January 2018
quotequote all
Take the job and feel very lucky it's all worked out this way. Good luck to your friend.

Yipper

5,964 posts

90 months

Wednesday 17th January 2018
quotequote all
One bird in the hand is worth two in the bush...

55palfers

5,909 posts

164 months

Wednesday 17th January 2018
quotequote all
Talk to your boss and ask what is going on about redundancy. Ask "is my job is safe?"

Don't let on about new job.

Accept new job and say you're able to start in a month.

Don't throw away possible £5k just yet.

schmalex

13,616 posts

206 months

Wednesday 17th January 2018
quotequote all
cavey76 said:
Take the offer and run!

Sure the government will/may/might come through and not let Carillion completely fail BUT while they are under the umbrella of administration you can get let go with comparatively b*gger all. I worked for Nortel for 12 years plus, once they went into administration i was let go (as were many others) in 2009 with nothing but stat redundancy whereas my contract entitled me to half a years salary. Tis easier for an employer to shirk contractual responsibilities while in administration. I was ok being early 30s at the time but there were others on my site who might have worked their all their lives and would have been due significant payouts who ended up with 5-7K of stat redundancy.

In 2017, 8 years after being made redundant i got approx 40p in the pound of what i was owed.
I worked for Nortel too at MOP. As chance would have it, I resigned in the October before they went pop, so bacame a creditor to the business for my SIP. I’ve finally, after 9 years, received most of the creditor settlements - it’ll aggregate to 21p/£...

Were you involved in the terrible MOP restaurant mass let go fiasco?

schmalex

13,616 posts

206 months

Wednesday 17th January 2018
quotequote all
55palfers said:
Talk to your boss and ask what is going on about redundancy. Ask "is my job is safe?"

Don't let on about new job.

Accept new job and say you're able to start in a month.

Don't throw away possible £5k just yet.
I wouldn’t risk hanging on for such a paltry amount. Accept the job, resign and skip out of the door, knowing that his immediate future is secured.

55palfers

5,909 posts

164 months

Wednesday 17th January 2018
quotequote all
To most people £5k isn't paltry.

He may have to give 1 to 3 months notice anyway.

schmalex

13,616 posts

206 months

Wednesday 17th January 2018
quotequote all
It’s not enough to be worth risking losing a golden opportunity over, though

craigjm

17,955 posts

200 months

Wednesday 17th January 2018
quotequote all
55palfers said:
To most people £5k isn't paltry.

He may have to give 1 to 3 months notice anyway.
Redundancy when a company is downsizing and when it goes pop are two different things. Statutory notice would be 12 weeks as a week for each year worked but if they have gone bust then the contract goes with it.

cavey76

419 posts

146 months

Wednesday 17th January 2018
quotequote all
schmalex said:
cavey76 said:
Take the offer and run!

Sure the government will/may/might come through and not let Carillion completely fail BUT while they are under the umbrella of administration you can get let go with comparatively b*gger all. I worked for Nortel for 12 years plus, once they went into administration i was let go (as were many others) in 2009 with nothing but stat redundancy whereas my contract entitled me to half a years salary. Tis easier for an employer to shirk contractual responsibilities while in administration. I was ok being early 30s at the time but there were others on my site who might have worked their all their lives and would have been due significant payouts who ended up with 5-7K of stat redundancy.

In 2017, 8 years after being made redundant i got approx 40p in the pound of what i was owed.
I worked for Nortel too at MOP. As chance would have it, I resigned in the October before they went pop, so bacame a creditor to the business for my SIP. I’ve finally, after 9 years, received most of the creditor settlements - it’ll aggregate to 21p/£...

Were you involved in the terrible MOP restaurant mass let go fiasco?
No but heard all about it as i survived till July 2009. I was based in Monkstown but travelled across to MOP monthly. We had a similar session in the March with the first round where people with 30+ years were let go with 2 hours notice all under the legal cover of administration. I just got my second payment of 16p/£ so overall approx 40p.

Back to the OP. Tell your mate to get going while the going's good!

Drumroll

3,756 posts

120 months

Thursday 18th January 2018
quotequote all
He should go as quickly as he can. Carillions failure is going to drag on and get very messy. No point in asking line managers anything because they simply do not know.

The Beaver King

6,095 posts

195 months

Thursday 18th January 2018
quotequote all
Accept and walk now.

Forgetting the redundancy payout for one moment, circa 20,000 people are about to hit the job market over the next few weeks/months. I'm guessing the new job is still in construction? Is your mate confident that somebody else won't as qualified, if not better and happy to take it now for the same or less money?


Shirt587

360 posts

135 months

Thursday 18th January 2018
quotequote all
Take their arm off at the shoulder. The huge uncertainty about Carillion means that unless he's actually directly employed by one of the JVs (e.g. Aspire Defence) it's going to be a long period of painful crap until they finally sack everyone or TUPE them to some other company who has bought the remains of a contract.

V8mate

45,899 posts

189 months

Thursday 18th January 2018
quotequote all
The Beaver King said:
Accept and walk now.

Forgetting the redundancy payout for one moment, circa 20,000 people are about to hit the job market over the next few weeks/months. I'm guessing the new job is still in construction? Is your mate confident that somebody else won't as qualified, if not better and happy to take it now for the same or less money?
Great post.

If he doesn't take the new opportunity, plenty of hungry folk will.

Sy1441

Original Poster:

1,116 posts

160 months

Thursday 18th January 2018
quotequote all
He’s accepted the new job offer and has a start date, he’s just wanting to capitalise on any redundancy payout also if in any way possible.

craigjm

17,955 posts

200 months

Thursday 18th January 2018
quotequote all
Sy1441 said:
He’s accepted the new job offer and has a start date, he’s just wanting to capitalise on any redundancy payout also if in any way possible.
Has he resigned then?