Just been made redundant

[livingthenotebook]

Just been advised in a months time I will be made redundant. They are closing us down. Don’t even know how to process this, only been with them 5 years so no huge pay out. I won’t get a job in my area on the same money I am now, nowhere near the same money, not even sure if I’ll be entitled to benefits, I really don’t know what to do. DH works but minimum wage, 1 teen child in college.

The only thing to do is dust off your cv and start job hunting

is there any chance your dh can increase his earnings from NMW? Has he ever earned more in working life?

The chances are you will be entitled to benefits, for a start job seekers allowance. There is a benefits calculator online where you can fill it out and see what you can claim for, without putting in personal details. Redundancy payment is likely to be tax free, remember to claim any unused holiday and payment in lieu of notice, there is also a redundancy calculator online, so you can calculate how much you should be entitled to.

Your DH will have to step up
you will be entitled to a redundancy pay out - yes it may be small but check what you should get
next step - sort your CV out, really polish it up
Register with recruitment agencies in your sector now
you’re going to have to be proactive but you have a skills set and redundancy does happen to lots of brilliant people - it’s not a personal reflection so you’re still great at your job

Job seekers allowance isn’t means tested and you can claim for 6 months after your last contracted day of employment, the job centre will be able to point you to resources to help with your cv, do courses to bring skills up to date or help with setting up a business - they were really helpful and friendly when I last was in your position. You are expected to job search and complete evidence of this but they aren’t that strict at first as they know you will be still getting your cv together etc. After 6 months this ceases and the option is means tested uc, you need saving under £16k to qualify plus income requirements, be positive that you will have found something by then

You will definitely get new-style JSA as that is based on NI conts for the last few years. What work does DH do - can he start looking around for better jobs?

I was made redundant as a PA in Covid and had a career change and became a Police Officer. My son was 7 at the time
Had to take a pay cut initially but will end up earning more than I did

Sorry to hear that OP.

On a practical note, redundancy y upto £30k is tax free. Salary notice period and holiday pay all taxable.

When will you receive the payment? This tax year or next. Any tax experts out there might be able to advise what is best regarding a tax rebate?

Redundancy is 4 weeks pay. Pilon is 4 weeks, not worth me hanging in there, I’ve had an interview this afternoon (already had arranged) and have 2 tomorrow, today’s interview felt positive, big pay drop but potential to grow and earn OTE, I’m tempted to just get signed off sick for the next 5 weeks, really don’t want to do their dirty work and they’ve caused me so much stress over the last 6 months but could that mess up my references?

How old are you?

Hey well done, its looking up already! Instead of getting signed off could you just use the time left at work to job hunt, refine your CV and file your nails? Or are they still setting you tasks?

49

Business as usual, I have to run it as normal and then close it down and pack it up when we are due to finish. Sat crying at my desk looking like an idiot.

I’m so sorry—you’re right to feel overwhelmed. First, check exactly what redundancy pay and benefits you’re entitled to. Then start exploring job options, even if temporary or part-time, to keep income going. Take it one step at a time—you don’t have to solve everything at once.

Well you don't have to run it as normal.
You just have to turn up
What are they going to do?

Go to gov.uk redundancy calculator, it’s 1.5 weeks pay for each full year worked aged 41+ although the weekly pay is capped. 4 weeks does not sound right if you are 49 (even assuming it’s 4 full years not 5)

Precisely. Also, if they’re contributing to a pension scheme they need to do that for the notice period too.
how many staff does it affect? Did they go through a consultation period? Have they offered any help for a job search?

The fact you have interviews lined up is great

I’d try and work my notice if at all possible though. Could you use leave to bring a leave date forward if you have another job?

£4.5k

OK, so i've looked into it a bit more and I didn't realise PILON means that you don't have to wait your notice to find another job because employment ends on the date on the letter, and would still get redundancy so I'm feeling a little better now.

Your redundancy and notice pay doesn’t sound right, if you’ve been there 5 years and are older than 41 then it should be 5 weeks’ PILON and 5 X 1.5 redundancy pay. Use the govt calculator to make sure it’s correct. Also don’t forget holidays earned not taken this year.

Thank you, with it being full years it will be 4 years

Has your 4 weeks’ statutory notice been added onto your termination date to give the relevant date for calculations?

that you’re saying 5 years suggests you are quite close to 5 years?

if adding the 4 weeks’ notice takes you over the 5 years, even if it’s being paid in lieu, then you are owed the payments as if you had 5 years’ service.

Its 4 1/2 years just