Can my employer move me to a rolling contract after two years?

[HireAndHigher]

I’ve been working for my company (uk) for two years, pretty much to the day but I’ve never been given or signed a formal contract of employment - no reason, he just didn't get around to it... Everything has been consistent in terms of role, pay and hours.

Anyway, today, my boss told me verbally that due to a lack of work (its been a long running theme, our clients are evaporating), he'd like to move me onto a “rolling contract” and suggested that this is a good time to do it as I’ve reached "the two-year mark" (I was never on a fixed-term contract).

I’m concerned this is an attempt to change my employment status rather than address a potential redundancy situation. As I understand it, I have an implied contract and rights after two years’ service. Can my employer do this, and should this instead be handled as a redundancy? What would be the best way to respond while protecting my position?

Just as a side note - the boss doesn't know I know, but a recent long term freelancer (15+) has just been offered a permanent role, because he said he was looking to move on (morale is very, very low). We have enough work to sustain the freelancer, but not me too and I literally thought at the time - how the hell is he going to afford this. Get rid of me, thats how!

How do I handle this?! Also, he isn't a nice person at all, things could get very nasty.

You can join a union oi you are not in one already. Often your house insurance has legal cover too so worth giving them a ring

ACAS can give advice on situations like this, or have a quick chat with a solicitor.

Speak to ACAS.

You need to look at the ACAS website and decide if you are an employee or a worker. A written contract is of course better but you still have a contract. You have worked and he has paid you. Once you have decided if you are a worker or an employee, you can see what your employment entitlements are. If you are a worker, you don’t get statutory redundancy pay and have less protection. He’s going to say you are a worker. If you have the conditions of work attributed to an employee, your job can be made redundant and you have more protection. What do you think it is?

Thanks all, I'll check out ACAS. @MeetMeOnTheCorner definitely an employee.

Have you been paid a consistent monthly salary with payslips for two years? You are employed. A fixed term contract is never implied. We are all on rolling contracts. Give us notice and redundancy at any point and we leave. Sounds like he is trying to do you over

No, he’s not allowed to do this.

@HireAndHigher In that case you have to agree to any contract change and are entitled to redundancy payments if your job is dispensed with.

Thanks so much. A HR friend has suggested a good advisor too. I'll wait until everything he's said is put in writing and take it from there.

I worry that I don't have a fight in me. The thought is completely overwhelming, like ears ringing overwhelm. I'm the main earner, with no buffer at all. What a nightmare.

What is the position regarding getting another job? Are your skills transferable?

Yes they are, totally transferable, but the market is really tough and I think my age and how I'm positioned in the market is going to make it x10 harder. Perceived too old to learn new tricks - I've done a lot and can do a lot but I'm no spring chicken.

The thing is, after 2 years employment, statutory redundancy pay is minimal anyway, I think it’s a week’s pay for each year worked, with a ceiling on the pay calculation, so that if you are in a well paid job , it wouldn’t be as much as 2 weeks of your actual pay. You’d be entitled to a statutory notice period either way, ACAS can tell you what that is currently.
It does sound like your employer is trying to shaft you, hope you manage to find something else soon.

What is he actually proposing

Nothing in writing, yet...

Aren’t all non-fixed employment contracts “rolling” contracts? You have employment rights, and they’ll have a contractual notice period. I don’t know what he’s trying to achieve here…

I’d suggest doing nothing now, apart from your own legal research and lining up of ducks

look for new jobs just in case, but he’s going to have to put this in writing… he hasn’t got round to getting your contract in 2 years, I doubt he’ll be breaking any land speed record getting this sorted.

then.. if he does, tell him you’re going to need time to assess it. Then you get someone to look at it if you’re in any way interested in doing this. Otherwise you don’t have to.

plus the long term FL will have left by then so perhaps the situation will have resolved itself

try not to panic, you have the law on your side here.

This is it. I've had a chat with an employment lawyer over the weekend, he said the exact same thing, thank you.

The long term FL has been offered a position here, which he has taken, and we've openly celebrated (he was offered a FT job elsewhere), sorry if that wasn't clear. I'm out because there isn't enough revenue to support both of us - not with the additional contributions.

And we wait...

Oh I see! Thanks for that clarification!

im glad you have back up in the form of an employment lawyer. It’ll help you immensely to stay calm and focused. Document everything, every comment, every word etc with dates and times. Let’s hope it never gets to it, but it’ll help you feel more confident. You have rights and he can’t force you to change this.

I’d also say wait, but I’m not sure the law is on your side as the pp is suggesting to the extent you can keep your job, if you say no, he can just make you redundant and give you two weeks pay.