Redundancy
Author
Discussion

markcoznottz

Original Poster:

7,155 posts

252 months

Friday 30th July 2021
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Got old mate he’s a mechanic. Has been on the books twenty five years paye. Other guy walked out so owner is selling the building. He was one of two full time staff. He’ doesn’t know if he is entitled to any redundancy, the owner is not known for his generosity.

Simpo Two

92,436 posts

293 months

Friday 30th July 2021
quotequote all
Was he actually made redundant?

markcoznottz

Original Poster:

7,155 posts

252 months

Friday 30th July 2021
quotequote all
Simpo Two said:
Was he actually made redundant?
Effectively must have been, because the business is no more as if Monday, cleared out.

APontus

1,935 posts

63 months

Friday 30th July 2021
quotequote all
markcoznottz said:
Simpo Two said:
Was he actually made redundant?
Effectively must have been, because the business is no more as if Monday, cleared out.
Possibly not that simple.

Lots of factors to consider.

Is it ltd? Is it being wound up? Is it solvent?

markcoznottz

Original Poster:

7,155 posts

252 months

Saturday 31st July 2021
quotequote all
APontus said:
markcoznottz said:
Simpo Two said:
Was he actually made redundant?
Effectively must have been, because the business is no more as if Monday, cleared out.
Possibly not that simple.

Lots of factors to consider.

Is it ltd? Is it being wound up? Is it solvent?
Yes, limited. Owner has called it a day, owns the business/ premises outright has sold to developer. No debts etc.

Matt_E_Mulsion

1,746 posts

93 months

Saturday 31st July 2021
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Well to me that sounds exactly like he is being made redundant.

Freshprince

216 posts

83 months

Saturday 31st July 2021
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And assets/cash to go after if he’s entitled to monies and acts quick enough.

bitchstewie

66,629 posts

238 months

Saturday 31st July 2021
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What's happened to the actual business though?

Presumably that has a legal status somewhere - what is it?

Flooble

5,755 posts

128 months

Saturday 31st July 2021
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Check here:

https://find-and-update.company-information.servic...

Assuming (big assumption) the conversation has already been had about paying off your mate, with the owner trying to dodge it (20 weeks' pay is due to your mate from the sounds of it, plus pay in lieu of notice, accrued leave etc.)

If the owner has tried to do a disappearing act, you will have to see if you can find a friendly solicitor to send a letter to the directors of the company setting out their legal responsibility to their employee. I'd almost say just write the letter yourself, but there are enough firms around who do a half-hour free advice I would think it's better to get a professional to do it as it will make things easier.

The reassuring thing is that the government steps in to make redundancy payments if employers do a disappearing act. The Job Centre (DWP, whatever) will be able to advise too.

APontus

1,935 posts

63 months

Saturday 31st July 2021
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Company wouldn't be wound up overnight. He does need to stake his claim before it is though, as once it's gone, it's gone (absent some expensive legal remedies to reverse).

Flooble

5,755 posts

128 months

Saturday 31st July 2021
quotequote all
Yes, Bona Vacantia is really the preserve of HMRC I think.

It's three months from putting in the dissolution notice to it taking effect, and there should have been two (?) notices in the London Gazette asking for creditors to come forward. The question is whether this has been on the cards for a while and the owner already started to liquidate it before the final denouement.

Either way, need to act quickly.

TCX

1,976 posts

83 months

Monday 2nd August 2021
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ACAS,Government redundancy service,lack of consultation,plenty to go at.