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Retraction of Redundancy

3 replies

Namechangelegalquestion · 20/12/2020 11:23

Hi can anyone answer a question for me please?

My husband was made redundant last month after many years of service. Just 2 weeks later (before any redundancy pay came through) they wrote to him asking him to agree to the withdrawal of his redundancy.

They have stated that if he refuses without good reason he may lose his right to redundancy pay. The redundancy was statutory, notice period in line with his contract.

Can they do this?

OP posts:
Namechangelegalquestion · 20/12/2020 11:24

Sorry I mean the redundancy PAY was statutory.

OP posts:
prh47bridge · 20/12/2020 12:42

Yes, they can do this. He will not necessarily lose his redundancy pay if he says no. It depends on his reasons.

If they are offering him his old back under the same terms and conditions that is clearly suitable alternative employment under the relevant legislation. If he turns it down, your husband's employer may be able to argue that he has unreasonably rejected suitable alternative employment and therefore is not entitled to statutory redundancy pay. It would turn on the question of whether your husband's refusal to take his old job back was unreasonable. If, for example, he has found another job, an employment tribunal would probably decide that it was reasonable for him to refuse to return and therefore he would be entitled to redundancy pay. On the other hand, if he refused to return simply because he wanted the redundancy pay that would almost certainly be deemed as unreasonable, meaning he would not be entitled to redundancy pay.

Namechangelegalquestion · 20/12/2020 16:46

Thank you prh47bridge for the very informative reply. That makes perfect sense.

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