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Employer hinting at option of a"fair settlement" instead of capability procedure route. What would be fair??

11 replies

citronella · 02/02/2010 10:22

Employers informed me last month that I was being placed on a "capability procedure". I have been off sick though so it hasn't actually started. I had a chat with HR department yesterday who said that the outcome of a capability procedure is never guaranteed anyway and often doesn't work. You could go through the (unpleasant) process and still be dismissed at the end. You would be entitled to your notice period. He also suggested that to avoid having to go through the whole (unpleasant) process they would be willing to reach a (financial) settlement figure which they thought was fair.
I have no idea what fair means in this case. As far as I know it's not like redundancy which has a defined way of being calculated.
Can anyone shed some light?
TIA

OP posts:
EightiesChick · 02/02/2010 10:38

Are you a union member? I would ask them for advice if so and also get legal advice. It could vary quite a lot. You also have to weigh up the pros/cons of accepting a payment now versus the possible variable outcome of going through capability.

Can you say a bit more about your circumstances? Do you actually want to stay in your job? Do you realistically think you can?

citronella · 02/02/2010 10:43

No I am not a union member. Honestly, I don't think the chances of coming through capability are positive. I think my manager has made up his mind.
I don't really like the job, well not so much the job as the company. It's not all I hoped it would be.
But I can't afford to not be working.
More here

OP posts:
Northernlurker · 02/02/2010 10:53

Well I think you're right and they do want you to leave. Imo best thing is to cut your losses. I guess you are looking at a compromise agreement scenario - they will pay you x amount, you can negotiate your reference a bit and then you leave and don't sue them It's quite a good way out of a bad situation actually. The question is how much they will pay you though - how long would it take you to find another job and do you have any savings?

citronella · 02/02/2010 11:00

That's what I am wondering Northern, how much is "fair"? Redundancy is usually based on x number of weeks for every year of service but how is this sort of settlement decided?

OP posts:
triffictits · 02/02/2010 21:49

I think that they are looking to make a compromise agreement with you too so you leave now with a reference and a chunk of cash.

No idea how much is fair - depends on your salary and position and length of service etc.
I would try and talk to a solicitor quickly that deals with employment - they will be able to advise you on how much you should go for.

dinosaur · 02/02/2010 23:06

This reply has been withdrawn

This has been withdrawn by MNHQ at the poster's request.

purplehat · 03/02/2010 08:53

The minimum I would accept is 3 months salary which should hopefully buy you enough time to find another job. But if more is on the table then great

dinosaur · 03/02/2010 12:36

This reply has been withdrawn

This has been withdrawn by MNHQ at the poster's request.

Northernlurker · 03/02/2010 12:41

They aren't going to pay more than you would get at a tribunal. That's the bottom line - this sort of agreement is to avoid costs at tribunal. What is your notice period? I would guess at notice plus maybe a month?

citronella · 03/02/2010 14:59

Hello again.

Northern, my notice period is 3mths.
Tbh 3mths + 1 isn't going to get me v. far

Hey dinosaur!
Yes please any advice v.v. welcome
I will try ACAS though don't know where to start...

OP posts:
HerHonesty · 07/02/2010 17:49

basic redundancy = 1 weeks pay per year of service, on top of notice period.

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