Redundancy pay

[shoehorn]

Hello everyone
I hope you can help me with my problem my firm is doing away with my job due to restructuring and is going to issue redundancy notices. the important facts are that they have a contractual redundancy scheme and inform me that as I am over 60 I will only be entitled to statutory redundancy while other people in the office are getting 5 weeks pay for each years employment their justification for this is that I am closer to the pension than a younger worker. my question is, is this legal or can it be classed as age discrimination. thank you in advance for any help you can give me on this matter.

[basa48]

Re: Redundancy pay

How long have you worked for the company?

Do you have access to the employment terms & conditions which describes the contractual redundancy terms?

[shoehorn]

Re: Redundancy pay

How long have you worked for the company?

Do you have access to the employment terms & conditions which describes the contractual redundancy terms?

I have worked for the company 27 years I do not have a copy of the terms but could probably get them

[basa48]

Re: Redundancy pay

You must obtain a copy of the T & Cs to determine what is the standard policy on redundancy.

If your company has such a contractual policy that enhances statutory redundancy pay then I would say (unless specifically stated in the policy to the contrary) that they cannot exclude you from that policy of enhanced redundancy pay because of your age (i.e. close to pensionable age).

Clearly the companies own policy is just that, a contractual agreement between employees and the company. It is separate and unaffected by Employment Law and is applied separately to any provisions of law.

[stevemLS]

Re: Redundancy pay

Correct me if I am wrong but I don't think employment law provides any direct remedy in this situation.

Age is a protected characteristic in the Equality Act 2010 but it is a qualified protection in that discrimination is unlawful "unless it is a proportionate means of achieving a legitimate aim" - whether they could meet that test I am afraid I don't know.

[shoehorn]

Re: Redundancy pay

Correct me if I am wrong but I don't think employment law provides any direct remedy in this situation.

Age is a protected characteristic in the Equality Act 2010 but it is a qualified protection in that discrimination is unlawful "unless it is a proportionate means of achieving a legitimate aim" - whether they could meet that test I am afraid I don't know.

thank you to both of you for your reply's. unfortunately they do have this clause in their redundancy scheme that once an employee gets over age 60 years he/she is not entitled to redundancy pay . their stated reason is because we can claim a pension at that time. but some of the guys have only been with the company 8 or 9 years one has only been in employment 5 years and thus any pension they get will be less than £200 per month and a 6 year gap before they can claim an old age pension. the company claims that the aim is to prevent anyone over age 60 from getting a wind fall. yes you did read it right. as this agreement was introduced before 2010 it would be my contention that it does contravene UK equality law and is not a proportionate means of achieving a legitimate aim. what do you think.

shoehorn

[stevemLS]

Re: Redundancy pay

I've found an Employment Appeal Tribunal case which seems to be exactly on point with yours, it is Smith v Ministry of Justice (2014). The MoJ made different arrangements for redundancy for those over 60 as they could claim their pensions at that age.

The ET found that age was a material difference between the two groups but the EAT reversed that decision finding that as it was a protected characteristic, it could not be used to distinguish the two groups.

[shoehorn]

Re: Redundancy pay

I've found an Employment Appeal Tribunal case which seems to be exactly on point with yours, it is Smith v Ministry of Justice (2014). The MoJ made different arrangements for redundancy for those over 60 as they could claim their pensions at that age.

The ET found that age was a material difference between the two groups but the EAT reversed that decision finding that as it was a protected characteristic, it could not be used to distinguish the two groups.

thanks could you provide me the link

[shoehorn]

Re: Redundancy pay

when I put in my search I got hundreds of hits but I have found the one you refer to and I agree it is right on the mark thanks again for the help
shoehorn

[stevemLS]

Re: Redundancy pay

This should work, I think.

http://www.employmentappeals.gov.uk

If you go to that link and search for the case, party 1 is Smith and party 2 Ministry of Justice, you should be able to download a pdf of the full transcript.

I don't know why but I can't link to the full case.

I might have managed to attach it, though - never done that before - in which case, ignore everything above.