Car Allowance and Redundacy Pay

Hi,

Can anyone clarify this for me please.

I have been told that I will be made redundant and have been given a summary of how my redundancy pay will be calculated. However, it does not take account of the car allowance I have (I am an Estate Agent and my job requires a car and the company changed from providing cars for us, to giving us a sum of money in our gross pay instead). If the car allowance was to be included in the redundancy package, it would make quite a diference to the sum I am due. I can't find anywhere online that clears this up.

Thanks

The Blue Van Man

Hi there.

Someone will be back shortly with an answer to your question.

Thank you for your question.

The Company should include your company car allowance in your 'payment in lieu of notice' however there is no legal requirement for the allowance to be included in the redundancy payment.

Your Company may include this allowance in your redundancy payment although this would be discretionary.