f your employer can’t or won’t make a redundancy payment you can make a claim for payment from the Redundancy Payments Office (RPO). The legal obligation for redundancy payments lies with the employer. If an employer genuinely can not afford these settlements, the RPO may be able to make the payments directly to the employees.
If your employer has been declared legally insolvent, the insolvency service who is dealing with your employers circumstances will give you an applications form RP1 which will enable you to make a claim.
If your employer has been declared legally insolvent this means the company has gone into:
* Liquidation with a court winding up order
* Administration
* Receivership
* Bankruptcy
* Voluntary arrangement with creditors
* The employer has died
If however your employer is not legally insolvent and you have been given an employment tribunal award, which the employer has not paid, you can apply to the Redundancy Payments Office (RPO) for payment.
As from April 2006 employees who continue to work for an insolvent employer while the business is being transferred to a new owner may be assisted financially by the National Insurance Fund.
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