Can they make me redundant to stop paying PILON?

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    alibags22 alibags22 is offline Junior Member
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    Default Can they make me redundant to stop paying PILON?

    I'm currently working on a project for my consultancy, due to come to an end at the end of this year, or early in next.

    They are currently making other redundancies as well- although less than 20.

    For me personally, I do not meet the criteria they have specified for the redundancy- I bill significant invoices each month, far higher than the company average, and a significant profit is made.

    They are currently trying to make me redundant now, and as my notice is three months make me work my full notice to finish out the contract. Is this legal? Should they not make me redundant when there is no work available, rather than in anticipation of the project ending? The end of the project is not defined- it could run into next year.

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    SarEl SarEl is offline Expert Advisor
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    No - you can be required to work your notice period in the event of redundancy and it is not uncommon for such notice to be served in anticipation of a project or job coming to an end. There is no legal right to PILON.


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    alibags22 alibags22 is offline Junior Member
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    What about if the project could go on further than my notice and they have to find alternative resource in the company- surely it isn't legal to make someone redundant when there is significant work available for them for an indefinite period?

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    Hmmm - I thought about answering that one before you asked! They can make you redundant and then move the date of termination if they need to - this is perfectly legal and actually is what often happens if a project or work commitment overruns. However, once you are issued with a redundancy notice, you can give counter notice (contractual notice as a minimum) and leave at any time during that period to take up other work, and you would only loose the remaining notice period (not any redundancy payment)

    Or they can give the work to someone else - the job and not the work is redundant, so provided there was a reduction in head count (i.e. you left and they did not recruit to your job immediately) it would be fair.


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