... to think my Mum's Employer is being massively unfair?

[ginnybag]

I'll be posting this in Legal as well, but I could do with the help.

My DM phoned me last night to tell her boss is making her redundant. I was shocked and sympathetic but told her there are a lot of people in the same boat at the mo. and there's not a lot that can be done.

Than she started giving me the full story.

My Mum works for a weaving firm, who produce the bedding etc sold for outrageous prices by several well-known dept stores.

One of them has recently decided to reduce its strock volume and has sent a termination of contract notice to the firm. Sad but fine, so far.

This means Boss has more staff than work, or will have shortly, so he starts making staff across the company redundant.

Here's where it gets thorny:

He laid off nine in June - no consultation, no discussion, just a letter saying, 'so long!'

He's now making a further 16 redundant.

Again, no consultation etc. Just a verbal announcement on last monday, then a letter last Tuesday stating they were making her redundant, with notice given from that date.

She's been there six years, so is entitled to 6 weeks redundancy pay according to contract, plus outstanding wages, hols etc.

Again, all fine (bit on the lack on consultation but...)

My mum and several of her colleagues throught about this and immediately went and contacted the other similar businesses on the ind. estate the firm is based on. One of them, happily, came up gold and offered all of them very similar jobs to the ones they are losing, starting as soon as their notice period ends.

Then came yesterday:

Big Dept Store has apparently realised that it's coming up to Christmas and has contacted firm saying 'Actually, we need to extend your production till xxyy'

Cue another letter from Boss to Staff: 'Due to the change in contract termination from Big Dept Store, we will now be making you redundant on 21st Oct.

An hour later, when several staff members, inc. my mum, had pointed out that they had new jobs starting well before that, another letter followed stating: 'Anyone who leaves the firm before 21st Oct will forfeit all redundancy pay etc...'

My mum is now very upset because, as she sees it, she has a choice: Stay with her current firm for however long (and it has occurred to both of us that BOss could keep doing this until Doomsday!) and get her redundancy pay etc but have no lined up job

Or, leave as planned, go to her new job but losed a couple of thousand pounds in redundancy money.

My thought was that he's not legally entitled to change his mind like this. Once he's given redundancy notice, that's it, and that if she leaves on the orginal stated date he will have to give her the money she's owed.

ACAS, btw, have given conflicting advice. One advisor said yes, one said no.

Help!!

Apologies for the length, btw!

No idea I'm afraid but if ACAS are giving conflicting advice I think she needs a solicitor.

Am employment lawyer - if the letter on Tuesday actually gave her notice by reason of redundancy your mum can rely on that. Employers cannot unilaterally take back a notice of termination. They can ask with employee consent but cannot force employees to do so.

As long as your mum sticks to the notice set out in the original letter she will be entitled to redundancy and notice monies. It will be a straight breach of contract/ wrongful dismissal claim.

Just to clarify you will need to read the letter on Tuesday carefully to check that it is giving notice.

Also, is she definitely only entitled to six weeks pay? If she is over a certain age, I thought she would be entitled to a higher rate of redundancy. see here . if she is entitled to a higher rate, could she use that as a bargaining point?

Just a thought.

try again

Thank you for this!

Both points are relevant and appreciated!

this might help

Am also an employment lawyer. The notice is effective - sounds like she has a claim for unfair dsimissal due to the lack of procedure, although if she walks into a new job her losses (and therefore compnesation by the Tribunal) may be negligible if the pay is similar. The company may try to argue that the 'extension' of her contract is alternative employment and her failure to accept it means she is not entitled to her redundancy payment. However, strictly speaking it is not alternative employment- just an extension of the old employment; it took place after notice on the grounds of redundancy had been given; and, even if it were alternative employment, your mum has a good reason to turn it down (better/longer-term prospects at her new place) and so shoud not forfeit her rights on those grounds.

If the company does not pay up your mum and her colleagues in the same boat could all instruct the same solicitor - costs are shared and therefore are not as high as they would be if she was acting alone. The company may quickly pay up if it sees that it has a fight on its hands.

HTH