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Redundancy: Implications of 6 mth FTC to start before end of notice pd @ same company

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  • Redundancy: Implications of 6 mth FTC to start before end of notice pd @ same company

    Hi

    I’d appreciate any opinions people have on my redundancy situation below and any pitfalls/concerns I should watch out for please. I can’t really find much online which matches my situation.

    Last week I was informed my permanent role will be made redundant which I accept. My consultation runs till mid-February when my 3 months notice would normally kick in so I’d end up leaving in May.
    I have been told a 6 month FTC could be on the table (same company), however it sounds like filling the role is urgent and they would want me to start at the end of my consultation period, maybe sooner, rather than the standard work my notice and then start the 6 month contract (ie 3 months notice + 6 months FTC).

    On an initial call with HR I was told at the end of the 6 mth FTC I would then receive my delayed 3 month pay in lieu and my redundancy payment (ie 6 months FTC + 3 months PIL).
    So either way I will have 9 months salary. I hope that makes sense. On the call I stated that if I was given a 6 month FTC but that included my notice period, that would only really be a 3 month contract which I wouldn’t accept.

    Is this good practice/common and what should I watch out for? I don’t want to be shafted by missing or doing something wrong in the negotiations especially as from past experience I dont entirely trust our HR from previous mistakes they have made.
    The proposal above seems pretty straight forward provided I have it in writing and leave after the 6 month FTC, but currently playing on my mind is what if at the end of the 6 months I’m offered an extension. Can I still choose to leave and retain my 3 months PIL and redundancy payment? when can i/should I ask for my PIL payment to make sure i receive it? If for example I go on to have several extensions I’d be worried that my 3 months notice period PIL would get “magically forgotten about” down the line.

    Also if I have 4 weeks to test the job and decide its not for me, would my 3 months notice then extend into mid June (if i start the FTC in February)?

    sorry if any of this doesnt make sense. im still trying to get it all straight in my mind.

    Peoples’ thoughts and considerations would be greatly appreciated. Thanks
    Tags: None

  • #2
    What I think you need to do is come to a written agreement with your employer to defer the redundancy until the end of the available FTC and this document should also set out very clearly the terms of the redundancy payments that would be due to you at the end of the FTC.

    I do agree that you need to be sure you are offered the full 6 months on the FTC without part (effectively half) of it counting towards your 3 months' notice.

    You do still have the right to turn down an offer of a fixed-term role as this would be considered reasonable on the basis it is not 'suitable alternative employment'.
    If you would like a one-to-one expert consultation with me on your employment issue than I can be contacted by emailing admin@legalbeaglesgroup.com

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