Branch closure, employment rights?

[Tinkerbelle]

Can someone advise please.

My husband has just received notification of a possible redundancy situation, due to the branch he works at being closed.

It is a branch of a car dealership, which has 2 different franchises.

The possibility of moving to a different branch has been mentioned as a possibility, however, this would also mean a change of salary structure (he's currently on a fixed salary, but, is expected to move to a much lower basic, plus commission), which would leave him worse off, as well as an increase in commuting costs as the branch mentioned is a considerable distance, and also a longer working day.

The alternative is redundancy, but at 61 years old, getting alternative emoyment is a considerable worry.

He's been with the company about 6 years, is a model employee, who goes above and beyond in his job, and is totally loyal.

[ULA]

Sorry to hear about your husband's situation. Yes, we can advise however although you have clearly set out the situation, I am not sure what the specific question/s are that you need advice on.

I will however answer generally on redundancy based on the content of your post. The company has to go through a period of consultation and consider any alternatives to redundancy, which may be the offer of a suitable alternative position elsewhere in the company. They have obviously suggested the possibility of moving to an alternative site which, if this is an available alternative position then they have to offer it to those staff being made redundant at the branch that is closing. Even if it is at a different pay structure or location, it is incumbent on the company to offer this to staff affected by the redundancy as it may be considered by an individual to be a suitable alternative rather than being made redundant. On the other hand, given the reduced pay level and location distance, this would potentially be considered as acceptable grounds for it not being a suitable alternative position. However, in this case if no other position could be found, then redundancy would be the outcome.

I hope that has provided some general information but if you have any specific questions, please do come back to this thread to ask.

[Tinkerbelle]

Thank you for your reply Ula.

I think my questions/concern relate to the issue of a reduced salary, especially as the job is essentially the same (selling cars), just at a different site.

[ULA]

Is the other branch a different franchise to the one closing down?

[Tinkerbelle]

Difficult to say, the branch that is closing was set up to sell the used cars that were traded in, so all sorts of makes, the branch he's going to does both new and used.

[ULA]

My understanding is that sales jobs in such an industry are typically income (not always very high) and commission based. Obviously, I do not know how the company operates and it may be that with the combination of new/used car sales in this other branch, that is what has been put in place as the pay structure for that environment, albeit different to the branch where your husband has been working which only sell used cars.

As I have set out the company is under an obligation to offer suitable alternative roles and as this similar i.e. sales, to the position your husband is being made redundant from is probably the reason it has been offered as an alternative. If despite the location issue, it is a consideration for him, then he could have a discussion in terms of the salary package for that role.

[Tinkerbelle]

Thank you Ula.