Redundancy Query

[randomuser123456]

Hello,

I have received an email from my boss telling me that we are having a meeting about my job. From info I'm already aware of I am confident that I'm going to be told that I'm being made redundant. Without going into the details, this isn't a redundancy situation and they're going to shoot themselves in both feet and it's something I can deal with, so not the big deal that it could have been.

My question is this; I am paid a salary, but much of my wage is by way of benefits, mainly accommodation. When calculating my entitlement to a statutory redundancy payment, is there a standard way of calculating the value of my benefits? Do I look at the local market for similar properties and make a non-pisstake judgement or is there a formula for these things? i don't need to take the piss as it should easily take me up to the £430 a week limit. Secondly, I think I should gross-up the value of the benefit as if I was renting equivalent accommodation I would have to pay the tax on the money first, is that correct?

Thanks!

[CurvaParabolica]

Statutory redundancy is based on weekly base salary, your age and your years of complete service - it doesn't take into direct consideration any company benefits (check out the RIF calculator on directgov for an idea of your entitlement).

If they're going to offer you an enhanced severence package then the value of all of your benefits for the duration of your contractual notice period should be included in that calculation, but enhanced packages are at the discretion of the company so there is no saying what value or percentage they may apply to your allowances to come up with the figures. RE the tax you are correct as any severance package will be tax-free up to 30k.

[randomuser123456]

CurvaParabolica said:

Statutory redundancy is based on weekly base salary, your age and your years of complete service - it doesn't take into direct consideration any company benefits (check out the RIF calculator on directgov for an idea of your entitlement).

Is that definitely correct? It would seem quite biased against someone like myself who has their employer pick up much of my living costs. My salary would have to rise by about 1k a month to cover the cost of me providing my benefits myself, but that 1000 a month wouldn't be taken into account when calculating Redundancy. I'm not sure many people would argue that was fair. Maybe because the circumstances are rare no one has kicked up a fuss about it before?

There won't be any enhanced package, my employer seems to be in denial over the existence of employment regulations and is under the impression that redundancy pay is letting you work your notice. It might be that I can correct them on that, give them my calculation including the benefits and they'll go with it rather than taking qualified advice.

[CurvaParabolica]

I may be mistaken; I've never dealt with a compensation package like yours before but from what I understand SRP is based on base salary only.

Take a look at this http://www.direct.gov.uk/en/Employment/RedundancyA...

and this http://www.direct.gov.uk/redundancy.dsb to see your statutory entitlements.

[randomuser123456]

Thanks, that's useful, especially the bit about PILON as I'd forgotten about that. I do have access to good legal advice, though they weren't able to answer that specific question without looking it up, so I thought I'd through it out to the wider world. I'll have to see how we get on and try to argue that I'm entitled to the full whack. If anyone knows different, please shout up!

[Who me ?]

One other topic, for someone who's in the know. How many are being made redundant, and length of consultation ?
Woops
See this http://www.pistonheads.com/gassing/topic.asp?h=0&a...