Consulting a Solicitor about Redundancy

[LovelyDaaling]

My son has been offered redundancy today. If he doesn't accept, it's highly likely there will be compulsory redundancy later in the year. HR said they will pay up to £350 for a solicitor and they strongly advised him to use one.

Assuming the offer meets all legal requirement which a solicitor could confirm, is there any other reason for contacting a solicitor?

It sounds like they intend for your son to sign a settlement agreement which is only legally valid if the employee has a legal advisor as part of the process. The amount quoted is pretty standard for employers (in my experience) when they are offering a settlement agreement.

This will mean him waiving any rights to raise any employment tribunal claims. They could be just doing this as it is voluntary redundancy, I had previous public sector employers who used settlement agreements for voluntary redundancies even then there was no legal risk of a tribunal claim from the employee. On the other hand, settlement agreements are usually used because there is some dispute between the company and the employee.

Thank you so much for your reply, it's very helpful

When I was offered redundancy several years ago, actually nearer 20 years. I was offered a small contribution towards my legal fees of £500. My total bill ended up being nearer to £2000 Sadly your son may need to put some money aside to ensure he has enough to cover any extra.

Was your situation particularly complex that would ramp up the legal fees? I think my son will accept what's offered and sign.

The standard fee for advice on the meaning and effect of a settlement agreement is around £500 plus VAT. That is the basic advice that an employee is required to take, and that the solicitor must certify that they have given, in order for the agreement to be valid. The employer contribution is not intended to cover for comprehensive advice on claims and renegotiation if needed - that is a separate " job" for the solicitor, and is charged to the individual.

No my situation wasn't. Large investment bank, poor economic climate, bottom of the economic cycle. But there were questions about the selection of the employee redundancy pool as that wasn't clear from the initial HR meetings. From memory, questions on the structure of the package. Just slightly above the £30k limit including holiday pay etc, so what could be done to mitigate. A couple more questions on the wording of the agreement. So nothing beyond what a decent independent solicitor should and would identify. The bank delayed replies.

He'll be able to confirm with the solicitor that they will only charge x amount for the service if it's just checking and signing. He does need the legal advice for the settlement to be valid.

If he's in a union, they often have recommended people.

My recent experience in a city in the north is £500 plus vat is standard for a solicitors to consult on a straightforward settlement. The solicitor normally bills the company direct and your son should let the firm know on engaging them what his employer is willing to pay- avoids any nasty surprises later.

Thank you all so much, I have sent a link of this thread to my son and he will be digesting your comments before speaking to a solicitor.