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Redundancy shock - advice please if anyone's around? Will try again in morning if not, in another more specific topic

7 replies

southdevondelight · 04/04/2012 00:10

Background: Almost 56, widowed, one DD at university. Secretary for 16 years at small construction related company (4 men, me fulltime, 2 part time women i.e. one mornings, one afternoons). Downturn in business over past 12 months but believed we could get through. Unfortunately immediate workstream almost dried up, although possible projects in the future pipeline.

Anyway, the bottom line is that we three women have effectively been made redundant due to "re-structuring" and asked to re-apply for just ONE new job share role, split mornings/afternoon working. The salary for this new part-time job is £11,000 LESS than my fulltime job and I'm certainly not living the life of Riley on current wage!

I'm 99% sure I'd get the part-time role but really can't manage on just over £8,000 and know that it would be difficult to find a different job to fill the afternoons. On the other hand I don't feel confident in making a clean break and looking for a new fulltime job (age isn't on my side CV wise) - and by resigning would not qualify for redundancy pay anyway. Live in small market town with limited employment scope for secretaries

Husband left debts of which I was unaware so had to sell house etc and there's no pension from that side. I have just a couple of thousand pounds earmarked for replacing 11 year old car on last legs and feel the financial future is looking bleak. Any suggestions or advice would be very welcome.

OP posts:
WetAugust · 04/04/2012 00:55

Don't resign - that's very important.

You have a contract of employment with your company. They cannot vary the terms of your contract without your agreement so, if they no longer require your services they must pay you statutory redundancy pay.

They cannot force you to apply for the £8K pa job - they can only invite you to do so. You don't have to take up the offer.

If you took redundancy, and assuming you have sufficient NI contributions, you will be entiteled to NI contribution-based JSA for 6 months, during which time you could look for another full-time job.

Agreeing to take the £8K job would may mean you'd find it difficult to find a supplimentary job for the afternoons and you need to be careful if you did take the reduced hours job that your employer could see this as you agreeing to an amendment of your existing contract by a reduction of hours, which would affect any redundancy entitlement.

I'd take the redundancy pay and JSA and look for another job.

southdevondelight · 04/04/2012 12:48

WetAugust - thank you very much for that information. Sorry but I'm still a but confused (lack of sleep!). Letter wording "we regret to inform you that your role has been selected to be at risk of redundancy. You are invited to apply for the proposed new job share role from 1 May 2012 and enclose a job description ... blah blah ... required to attend interview on 12 April. We would highlight that should you be successful, you would not be entitled to any redundancy but would still retain your statutory rights moving forward"

I've been with this company for 16 years and worked continuously for over 35 years (1 year off with young DD), how can I find out what redundancy pay I may be entitled to, or is this the JSA you refer to?

OP posts:
wonkylegs · 04/04/2012 12:55

OP you have my sympathies I work for a small construction industry firm and to say that it's been painful during the recession would be putting it mildly. We've had redundancies and it's been awful as we're a close knit bunch. I have found the acas website invaluable in understanding what is going on with regards to redundancies, processes, rights etc. www.acas.org.uk/index.aspx?articleid=1365

Tiago · 04/04/2012 12:59

Redundancy pay is different to JSA.

As I understand it, on making you redundant your employer will have to give you a lump sum 'payoff'. You then go to the benefits office and claim JSA for 6 months while you look for another job.

southdevondelight · 04/04/2012 16:16

Thank you Wonkylegs, yes it's worse because we are a small company and now all three of us secretaries will be competing for a share of one job. I'm more friendly with one than the other but it's still a horrible situation to be in and our applications have to be in next Tuesday, so guess what I'll be doing over Easter. It's all come up so quickly, I wonder if there should be more time allowed for this sort of thing by law, but I expect there are always loopholes and one of the directors wives is pretty hot in HR so they will be covered.

Tiago, need to do some investigating and see what redundancy pay I would be eligible for and also how to qualify for JSA. Thanks for explaining.

OP posts:
springbabe · 14/04/2012 08:46

Hope this advice is not too late.

Your position is that - you to decide if you want to be considered for the new job and you should decide if that job is a suitable offer of alternative employment. when you are redundant, which is your situation given that your old job has disappeared the employer must make available to you any jobs available before your employment terminates. The decision is for the employee to decide if that job is a suitable offer of employment, this takes into account : job status, duties, remuneration, terms and conditions, location , if you decide that it is not a suitable offer the employer cannot with hold the redundancy payment. if they do you can take them to employment tribunal for non payment of redundancy.
if you do accept the job you have a statutory entitlement to a four week trial period and if at the end of the four week you decide the job is not suitable you retain your right to a redundancy payment based on your previous contract of employment - not the new contractual pay.
hope this helps and let me know if you have any other questions (guess you can tell i work in HR).

LostMySparkle · 15/04/2012 14:03

Springbabe - would you mind if I PM'd you - promise not to ramble too much! Will send message but please don't feel pressured to respond if you would rather not.

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