Voluntary redundancy

[bedonde]

Had a Message from a former colleague today who is under threat of redundancy:
‘Employer told me this week that they need to cut our dept by one person and they’re looking for a volunteer.
I’ve been approached in an off the record conversation as to whether I’d be interested. The offer appears to be the statutory redundancy pay for five full years’ service (been there seven but initially as a contractor) plus my contractual notice period of three months. If I don’t accept then the whole department (less than ten people) will go to consultation and there will be a compulsory redundancy.
The offer seems like the bare minimum (£2.5k statutory pay plus notice). is there anything I can do??

[Brads67]

Don't volunteer ?.

[bedonde]

I think though, the alternative to voluntary is going through a consultation process and facing compulsory redundancy which would be on similar, derisory terms. Guess there is little alternative here.

[yajeed]

It’s a negotiating position.

You’re going to go through a process that will upset the team and you’ll be working there and getting paid whilst you go through it.

Why not ask for favourable terms for voluntary - say the original deal plus x months salary.

Your other bargaining chip is offering to sign a compromise agreement limiting come back on them.

If it were me, and I found I’d been the only one approached then I’d question whether selection is predetermined, since that’d be a very foolish thing of them to do.

[craigjm]

yajeed said:

If it were me, and I found I’d been the only one approached then I’d question whether selection is predetermined, since that’d be a very foolish thing of them to do.

Do we know he was the only one approached?

You have nothing to lose in these positions. Respond to the request and say that you would go for 6 months salary (tax free) and a sum of money for “outplacement” ie help to find your next job / do some training and the ball is in their court. If they say no then go to consultation assuming you’re the only one offered and take your chances

[yajeed]

I had two ‘ifs’ in that sentence. That said, I’d still be making sure they’d treated everyone equally.

[bedonde]

craigjm said:

Do we know he was the only one approached?

You have nothing to lose in these positions. Respond to the request and say that you would go for 6 months salary (tax free) and a sum of money for “outplacement” ie help to find your next job / do some training and the ball is in their court. If they say no then go to consultation assuming you’re the only one offered and take your chances

I’m told he was given the news ‘off the record’ in a conversation and told he was the only one approached at this stage. They’ve started off with the bare legal minimum and are playing hardball from the off, so it doesn’t inspire much confidence in what might be achievable I fear.

[craigjm]

bedonde said:

craigjm said:

Do we know he was the only one approached?

You have nothing to lose in these positions. Respond to the request and say that you would go for 6 months salary (tax free) and a sum of money for “outplacement” ie help to find your next job / do some training and the ball is in their court. If they say no then go to consultation assuming you’re the only one offered and take your chances

I’m told he was given the news ‘off the record’ in a conversation and told he was the only one approached at this stage. They’ve started off with the bare legal minimum and are playing hardball from the off, so it doesn’t inspire much confidence in what might be achievable I fear.

Agreed. In which case then he has nothing to lose of course. Ask for the world and see what happens and if the st hits the fan he can pull the approach out of the bag as an indication that the result was pre-determined. Two can play hardball if required

[craigjm]

anonymous said:

[redacted]

When did that change?

[anonymous-user]

On the face of it the message from your friend doesn’t make sense. The business needs to lose 1 person out of a department of 10. The consultation process and disruption will not be particularly onerous - and will lead to 1 person getting statutory redundancy. The approach to the friend gives the same financial outcome to the business but avoids some (not all) admin. Why would the business bother and risk getting in a tangle?

Could it be that the business wants the friend out but knows that the selection process would be unlikely to result in him being picked? If so, that may open the door slightly to some form of enhanced package but talk of 6 months salary tax free isn’t based on reality.

[craigjm]

anonymous said:

[redacted]

Cheers. Didn’t know that