I was issued with a letter headed "Potential Redundancy" on the 2/4. I am a Business Development Manager working in financial magazine publishing. The letter stated due to market conditions they were considering making my position redundant. They stated that they were offering me the chance to try to avoid this by going back to them with ways that costs could be reduced. I was asked to put this in writing by the 7/4 which I did. It also informed me that there would be a consultation meeting with two line managers on the 8/4.
On the 6/4 I was issued with a 2nd letter covering the ground again of the first deepening recession job at risk etc; This was presented to me around 12 Noon stating the meeting for the 8/4 would be at 10 a.m. & stating that I could be accompanied by a work colleague or Union representative. I chose the former as I had very little time to arrange anything else.
At the meeting on the 8/4 I was informed that after serious consideration the 3 cost cuting options that I had put forward including working from home on a commission only basis with no overheads for the company had all been rejected.
After this meeting I was handed a 3rd letter stating that they discused the company's reasons for the potential redundancy again but no mention of declining my options proposal & no reasons given. Just that there would be a second consultaion meeting on the 15/4 & offering again for me to have a work colleague or Union rep present. The meeting was for "to explore any other ways to avoid compulsory redundancy".
I then sent a letter back to them requesting that I be allowed some paid time off work to seek legal advice. My request was declined. I was informed I would have to book holiday if I wanted to do that.
The second consultation meeting took place earlier today. At that meeting all the old stuff was mentioned again i.e. potential redundancy, whether I had any other cost saving ideas etc; I said I had given them three perfectly good ideas at the previous meeting which were all rejected & had nothing to add.
After the meeting I was issued with a 4th letter stating that there were no further proposals put forward by myself & that they would look at "any other alternative opportunities within the company that arise so that you may consider them". I was also informed that there would be a third consultation meeting to take place on the 21/4 with the usual work colleague accompanied bit. This letter also stated that"In the event of you are made redundant, the Company has a preliminarycalculation of your entitlements & due to my length odf service - one year I was not entitled to anty redundancy payment. You will not be required to work your notice period of 4 weekswhich will be paid in lieu. All outstanding wages, holiday pay & commission will be processed the normal payroll run following your last day of employment. If any outstanding commission payments are still outstanding they will hold my P45until these commissions are determined & paid outwith the normal payroll run following their due date. A detailed financial statement will be provide for you in due course. I have monies booked as far inadvance as October /November which under normal circumstances I would expect to be paid out on but I believe they are trying to wriggle out of this.
Sorry for the long windedness of this but you ask for full details. One other thing I would mention was that my current company bought out my last company not under tupe after they went into administration. I was employed there at a senior level for 16 years.
Any help or suggestions please. Have my company acted correctly so far if not where have they slipped up & what recourse do I have?
Pending Redundancy Legal Advice
- 15-04-09, 09:06 PM #1commuter
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Pending Redundancy Legal Advice
- 16-04-09, 03:32 PM #2Peter Etherington
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Hi Commuter
It looks like your employer has followed the proper process so far - in fact they have goen further than the strict legal requirements (allowing you to be accompanied at consultation meetings, for instance). It can become a bit of a farce when alternatives are explored and rejected early on, but they are doing what they should - allowing time for full consultation and giving you the opportunity to question, challenge, etc.
They are correct to say you will not be due a redundancy payment (unless you have a contractual entitlement). They also do not have to allow you time off during the consultation period for legal advice.
Unless it is quite clear that the redundancy is a sham, or that your alternatives clearly provide a better financial outcome than redundancy for the firm, I think you will have little prospect of a valid claim.
I hope that helps
Pete
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- 16-04-09, 10:23 PM #3commuter
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Topic Review Pete
Thanks for the advice as I wasn't sure about their timing of meetings etc; Seems like they are playing it by the book then. I'll get as much cash out of them & be on my way then.
Regards
Commuter
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