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Redundancy pay and new job

8 replies

CeciC · 06/08/2010 13:49

My employer started 3 month consultation period for closing the site I work, and if the site closes, I will loose my job by the end of 2011.
My question is, say that my employer tells me that my job will be finishing in November 2011 and I will get £xxx in redundancy pay, if I find a job before November 2011 will I get my redundancy pay?
I know is all "if" but I would appriciate if someone could give some answers.
TIA

OP posts:
Portofino · 06/08/2010 13:57

Depends on whether you leave before the redundancy date or not.

You can obviously attend interviews, get an offer of another job (indeed responsible employers often offer assistance with this) but you have to stay til the bitter end to get the redundancy normally.

If you find another job between now and then, and leave early, you will be resigning rather than being made redundant.

lal123 · 06/08/2010 14:07

Why on earth would you get redundancy pay if you are not being made redundant?

CeciC · 06/08/2010 14:13

Thanks Portofino,
My DH was saying something similar but he wasn't sure of it. I knew that if I found I job now I wouldn't get anything, but if I found a job closer to the date, and I had to start before the day I "should" get the redundancy or part of it, as I have been forced to look for another job.
But well, I'll have to bear this in mind next year, even thought I am thinking of taking some time off before deciding to get another job.
Thanks again

OP posts:
CeciC · 06/08/2010 14:15

Hi lal123,
Well, if the site closes I am being made redundant as my job won't exists come end of 2011. Of course if they decide not to close the site, then that will be different. But if my job desapears, I think that is making me redundant, and I have to look for another job.

OP posts:
CeciC · 06/08/2010 14:20

Re-reading my posts, I can see is not very clear when both think could happened. It was if my last day was November 2011 and the new job was to start say October 2011 not earlier that that.
I know of course that if I find a job much earlier that that, I never thought I would be entitled to any redundancy.
Sorry

OP posts:
Nubbin · 06/08/2010 14:32

This is a tricky area of the law. It depends on your obligatory notice period (i.e. the minimum notice period either statutory or contractual you are entitled to).

E.g. if you are entitled to 3 months notice which expires on 1 November 2011. If you resign and leave prior to 1 August 2011 (i.e. more than 3 months) you will not be entitled to a statutory redundancy payment.

If you resign within the last three months and serve a notice on your employer requesting that your date of termination is earlier and a) your employer agrees or b) doesn't do anything - you can leave on the earlier date and keep the statutory redundancy payment.

But the employer can serve a counter notice on you requiring you to work out your notice or stating that they will not pay statutory redundancy. If that happens and you leave early you will need to go to tribunal to recover any payment.

For contractual enhanced redundancy pay - it will depend on the terms of the contract.

So kind of depends on your notice period and when you are offered a job.

CeciC · 06/08/2010 14:50

Hi Nubbin,
Thanks very much for your explanation. It looks more fair,as I thought it was kind of unfair that you are forced to look for another job, but if you have to start just before you "finishing day" you could loose all the redundancy.

OP posts:
LadyLapsang · 07/08/2010 18:10

Maybe you could use holiday or unpaid leave to cover the gap.

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