Redundancy while on AML

[Chocolatedays]

Looks likes it is may happen to me so if anyone has any knowledge / experience I need some help!

OK here are some details:

My AML ends on 4th July. I have been into the office and said I plan to return and we verbally agreed I'd start back on 4th July and immediately take the accrued leave so my first day in the office would be 22nd July. I have not yet officially emailed this to confirm.

On Thurs I had a call from the HR manager saying they are having to review headcount and were starting the consultation period - they had notified the other employees of this at a recent meeting. The HR mngr emailed me follwing the tel call. The email said they would reduce headcount through redundancy before July.

I work for a fairly small agency and so only stat redundancy is on offer and I have a 3 month notice period in my contract. I will have worked for them for 2 yrs on 15th May (just over one year working and the rest on SML & AML)

Here are my Qs:
I think (though am not sure) I would normally be entitled to 2 weeks at £350 (the max stat redundancy pay) PLUS 3 months notice (which I may have either have had to work or may have been be offered it as a lump sum).
If (which seems likely) I am still on AML while being made redundant BUT was going to return during the notice period what money am I entitled to?

Also - what is the earliest they are allowed to make me redundant following the call on Thurs?

Might it be worth giving notice to go back earlier than July?

Sorry this is long but I think for anyone to help then some of the detail is needed.

Thanks in advance for any pointers

When you say small industry is it less than 100 people as i think that has a bearing on consultation.Hopefully flowery will be along soon.

Yes - only c 20 employed (incl the directors)

Thanks for responding

You have an HR Manager even though there are only about 20 employees? How unusual!

Why are you not sure about whether you would be entitled to 2 weeks redundancy pay and your notice? What's making you doubt this?

Are you aware that if you are at risk of redundancy during your maternity leave you get extra protection? You can't be put in a 'pool' for selection competing against other employees for a reduced number of jobs. If in the new structure there will be a job which is suitable for you, you must be offered it, receiving preferential treatment over other employees.

Notice pay during maternity leave is a bit complicated, see the section here about it. Notice is a time thing, not a money thing, iyswim, so giving you 3 months' notice of redundancy just means you will be redundant in 3 months' time, and the fact that for part of that time you won't be received pay anyway doesn't matter. Read the section and see, paying in lieu may be different.

Is there anything in your contract about your employer being allowed to pay in lieu of notice?

In terms of the earliest they are 'allowed' to make you redundant following the beginning of the consultation period, well it's more or less up to them. There are specific consultation periods laid down for larger number of employees being made redundant, but if there are only 20 people working there in total, presumably not many will be going anyway, so as long as they do consult, it can be pretty quick.

Have a read here about redundancy, there are sections on consultation, notice and redundancy pay.

Thank you for responding Flowerybeanbag.

The company employs a large number of freelancers / short term contracts (and has a pretty high turnover of employees) so I think that is why they have an HR person.

I am doubting whether I will get notice pay as some (or perhaps all) of my notice period could be while I am on AML (especially if they move quickly). If I have understood the links in your post correctly then this is a bit of a grey area, but it is most likely I will NOT get three months notice pay - only pay for the time when I would have been back at work - which could be nothing. This is the bit that is stressing me out as we can manage for a while if I got three months payment in lieu - but if I get nothing or sig less it would be very hard for us.

My contract mentions payment in lieu - but only in their right to terminate the agreement without it in cases of misconduct etc.

I suspect they will remove a level of management (mine) - there are 4 of us at that level - we are the most expensive employees and the easiest ones for the directors to cover.

Yours, trying not to fret uncontrolably, Chocx

Have you had no information about timescales or anything? It's all very well them telling you they are starting a consultation period, but telling you that should also involve telling you what form consultation will take, and give an idea of timescales and all that.

Bit rubbish to just tell you they are starting consultation and leave you with no idea at all about what happens now. I'd push for a bit more information about how long the consultation period will be and how exactly they will be consulting.

All they've said is they will make redundancies by July. Which I guess could mean tomorrow or any time upto 30th June.

That's not really good enough, if this is a consultation period they should be communicating with you, that's the whole point. I'd go back and press the point about likely timescales and method/subject of consultation exercise. Otherwise you will just be in limbo knowing nothing for the next few months, which isn't on.

Thanks Flowerybeanbag

I decided to speak to one of the guys on the same level as me to see if those in the office had a clearer view of what was going on and timing. He'd just been asked to consider a 15% pay cut and said it was a all a bit bleak at the mo. The only thing he has been told is redundancies will happen within 3 months if things don't pick up.

Hi Chocolatedays.

If my understanding of the law is correct, your employer is required to provide you with details about the consultation process and the selection process. If they are not following due process with you just because you are not in the office, you should make a note of everything that happens - when you meet or receive an email or letter, who you speak to, what discussion takes place,etc. Include your own follow up with other employees at risk too. Then write to HR to request the information you want (and are entitled to). If they still don't give it to you, you definitely need to make a note of that in case you decide to claim unfair dismissal due to process not being followed correctly.

If you end up in an unfair dismissal claim, you will then have some proof of the conversations (or lack of them) that happened so you can show why due process wasn't followed.