As I’ve said in my other thread, I’m being made redundant any day now. The administrators are trying to sell as much of the products to the customers they were made for as possible so I’m being held onto to deliver it. About 95% of the other staff have been finished already.
On the 31st of this month I will have been with the company 5 years. Am I right in thinking if I get made redundant before then I can only claim for 4 years?
better to talk to acas
although there are plenty on here who will offer financial advice 
As above ,ACAS,and the insolvency service,if the firms in administration,money will come from the government,factors include number of people,if there was/wasn’t consultancy period,then when firms wound up possibly more money from proceeds,I got made redundant by email July 2019,got last of money earlier this summer,obviously covid didn’t help
What notice period are you entitled to? Does that take you passed the 31st? Have they served notice on you?
The majority of the staff were emailed last Sunday that their last shift was the previous Friday! So no notice for them at all. The rest of us have just been told to report for work to assist in winding up the business. “This will be for a number of weeks rather than months”.
We are to claim redundancy from the government.
I did the calculator thing yesterday and it says to put in how many full years you’ve worked there but not months. So, it could mean I miss out on the 5th year by a matter of days! Bummer [emoji30]
nomiS36:
The majority of the staff were emailed last Sunday that their last shift was the previous Friday! So no notice for them at all. The rest of us have just been told to report for work to assist in winding up the business. “This will be for a number of weeks rather than months”.
We are to claim redundancy from the government.
I did the calculator thing yesterday and it says to put in how many full years you’ve worked there but not months. So, it could mean I miss out on the 5th year by a matter of days! Bummer [emoji30]
I don’t think so. Statutory notice is one week per year of service for 2-12 years of service. So 4 weeks notice will take you passed the 31st.
If you don’t get to work your notice, you’re entitled to PILON (pay in lieu of notice)
…
Just read this
personneltoday.com/hr/calcu … of-notice/
“Where an employee is dismissed without the statutory minimum notice, the relevant date for calculating length of service is the date on which the statutory minimum notice would have expired had it been given.”
So even all those others who didn’t get notice will be paid notice and redundancy entitlement up to end of notice period - by the government (if you are right about that)
To save you registering for that site…
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Notice periodsPayment in lieu of notice (PILON)Redundancy
How do you calculate redundancy pay when making a payment in lieu of notice (PILON)?
by Susie Munro11 Nov 2015
Calculating redundancy pay can become more complex when there is a PILON
Redundancy payments are calculated based on an employee’s length of service. But what happens if an employee who is paid in lieu of notice would have completed another year’s service if he or she had worked the notice period?
PILON and redundancy pay resources
Workflow: Conduct a redundancy process
How to make a payment in lieu of notice (PILON)
Task: Make a statutory redundancy payment
Redundancy pay and length of service
The Employment Rights Act 1996 sets out the rules for calculating a statutory redundancy payment. For each complete year of service with the employer, the employee is entitled to between half a week’s pay and one and a half weeks’ pay, depending on his or her age.
The “relevant date” and PILON
The employee’s length of service must be calculated as at the “relevant date”. If the employee is dismissed with notice, this is the date on which notice of termination expires and the employment comes to an end.
But the position is different if the employee is dismissed without notice, including the common scenario where a redundant employee is given a payment in lieu of notice (PILON).
Where an employee is dismissed without the statutory minimum notice, the relevant date for calculating length of service is the date on which the statutory minimum notice would have expired had it been given.
Adding on the statutory minimum notice period
Employees are entitled to statutory minimum notice of one week after one month’s service, two weeks after two years’ service, then an additional week for each year’s service, up to a maximum of 12 weeks’ notice.
PILON FAQ:
How should an employer calculate a redundant employee’s length of service for the purposes of redundancy pay if the employee is paid in lieu of notice?
So where an employee is dismissed without notice (but receives a payment in lieu of notice), the employer should add on the minimum statutory notice period to the employee’s service as at the date on which the employment ends.
This might take the employee past an anniversary, entitling him or her to more redundancy pay. For example, an employee who is made redundant after seven years and 11 months’ service would be entitled to a minimum notice period of seven weeks.
If the employee is paid in lieu of notice, the employer should add on seven weeks to the employee’s length of service, which would take him or her past the eight-year anniversary. The employee would therefore be entitled to a higher redundancy payment.
[secure]
SUSIE MUNRO
Susie Munro joined the XpertHR editorial team in 2009 having previously worked for Age Concern England where she developed a particular interest in age discrimination and mandatory retirement. She has advised on and written a wide variety of information materials on this developing area of law, as well as other aspects of the employment relationship. Susie qualified as a solicitor in 2004, specialising in employment law, and worked in private practice for a firm in Birmingham.
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If I understand that correctly it appears my months notice period will push me over the 5 years service mark whether I work it or whether they finish me immediately next week for example.
Anyway, nobody knows how long the rest of us have got so it may well go on past the end of the month.
I am still interested to know whether they calculate redundancy on full years service or not? Seems wrong to me if you would only get 4 years of you had been there for say 4 years and 10 months.
nomiS36:
If I understand that correctly it appears my months notice period will push me over the 5 years service mark whether I work it or whether they finish me immediately next week for example.
Anyway, nobody knows how long the rest of us have got so it may well go on past the end of the month.
I am still interested to know whether they calculate redundancy on full years service or not? Seems wrong to me if you would only get 4 years of you had been there for say 4 years and 10 months.
Clicking on pay gives
“You’ll normally be entitled to statutory redundancy pay if you’re an employee and you’ve been working for your current employer for 2 years or more.
You’ll get:
half a week’s pay for each full year you were under 22
one week’s pay for each full year you were 22 or older, but under 41
one and half week’s pay for each full year you were 41 or older
Length of service is capped at 20 years.
Your weekly pay is the average you earned per week over the 12 weeks before the day you got your redundancy notice.”
Woirth exploring all of that for you I`d guess.
Is this connected to the end of the furlough scheme?
I have had two customers go under last week, both were heavy users of furlough. (Didn’t owe me money thankfully).
Huge job losses going on now across many sectors
Are you paid weekly. Careful they may stitch you up. Get everything in writing from the administrators. I nearly got done years ago while on a delivery. I got a message on pay day all trucks back to depot. Checked my bank account no money. I told the guy am not taking a pallet of clutch kits i had on board.
It depends also on what your contract of employment states, if they are better terms than the legal minimum then thats what they have to pay you, when I took voluntary redundancy from Royal Mail, because the mail centre was closing, we had better than legal minimum, we also had a 90 day consultation period. Good luck and hope you find a job after!!!
idrive:
Is this connected to the end of the furlough scheme?
I have had two customers go under last week, both were heavy users of furlough. (Didn’t owe me money thankfully).
Huge job losses going on now across many sectors
Nothing to do with furlough. Everybody had been back at work for a few months. It was one of the large contracts they were having problems with not paying because they said they weren’t getting their stuff on time etc etc. cash flow is the official reason.
WheelsofCardiff:
Are you paid weekly. Careful they may stitch you up. Get everything in writing from the administrators. I nearly got done years ago while on a delivery. I got a message on pay day all trucks back to depot. Checked my bank account no money. I told the guy am not taking a pallet of clutch kits i had on board.
We’ve always been payed monthly on the 27th. Got payed as normal last month. Supposedly they are going to now pay us weekly until the end. Not been payed for last week yet. Not sure if we are now on a week in hand so will be next Friday. [emoji53]
So, the answer to the OP’s question:
How should an employer calculate a redundant employee’s length of service for the purposes of redundancy pay if the employee is paid in lieu of notice?
So where an employee is dismissed without notice (but receives a payment in lieu of notice), the employer should add on the minimum statutory notice period to the employee’s service as at the date on which the employment ends.
This might take the employee past an anniversary, entitling him or her to more redundancy pay. For example, an employee who is made redundant after seven years and 11 months service would be entitled to a minimum notice period of seven weeks.
If the employee is paid in lieu of notice, the employer should add on seven weeks to the employee’s length of service, which would take him or her past the eight-year anniversary. The employee would therefore be entitled to a higher redundancy payment.
Santa:
So, the answer to the OP’s question:How should an employer calculate a redundant employee’s length of service for the purposes of redundancy pay if the employee is paid in lieu of notice?
So where an employee is dismissed without notice (but receives a payment in lieu of notice), the employer should add on the minimum statutory notice period to the employee’s service as at the date on which the employment ends.
This might take the employee past an anniversary, entitling him or her to more redundancy pay. For example, an employee who is made redundant after seven years and 11 months service would be entitled to a minimum notice period of seven weeks.
If the employee is paid in lieu of notice, the employer should add on seven weeks to the employee’s length of service, which would take him or her past the eight-year anniversary. The employee would therefore be entitled to a higher redundancy payment.
Thanks for that. That’s exactly what I was asking because my ‘case’ is similar to the example. Pleading with them to finish me asap now. I haven’t driven ‘my’ truck since the week before last. Just wondering round the place looking for pallets for customers that want to collect their stuff.