Redundancy entitlement help please

[baxtec1]

Please could someone kindly offer some advise.

What redundancy pay out is someone entitled to where they have worked a full 30+ year career with the same employer, retired but took on a new role with the same employer, with no gap in employment - they did sign a new employment contract for the new role.

Would they only be entitled to redundancy payment from when the new contract was signed or back to the start of their career?

[matt3942]

Re: Redundancy entitlement help please

Hi [MENTION=75175]baxtec1[/MENTION] - welcome to the forum.

IMO if there was no gap in service, the previous years of service will count towards any redundancy payment calculation. Just don't forget that statutory redundancy payments are capped at 20 years of service.

[baxtec1]

Re: Redundancy entitlement help please

thank you [MENTION=67649]matt3942[/MENTION] for your time, do you know where is best to read up on this type of scenario?

[matt3942]

Re: Redundancy entitlement help please

Hi [MENTION=75175]baxtec1[/MENTION] - there's no definitive sources as far as I know. Your first port of call should be the HR/payroll department. If they say that the service is continuous then there isn't an issue.

Do let us know what happens next.

All the best.

[mariefab]

Re: Redundancy entitlement help please

Finding a description of what should happen in these circumstances, online or otherwise, is unlikely.
I just did a google search myself and could only find a few sources but they were only relevant to the particular policies of individual employers.

The short answer is that, as long as there wasn't a gap of a week between the 30 year employment ending and the new role and contract starting, the employment is continuous and therefore you would be entitled to a redundancy payment based on the whole period. (Capped at 20 years as matt said.)

There are a few exceptions though, mainly based on whether a compensatory payment was made at the end of one of the earlier periods of employment.

The Employment Rights Act 1996 will help.
Part XIV Chapter 1 deals with continuous employment.

http://www.legislation.gov.uk/ukpga/.../XIV/chapter/I

So, you start with 210(5). The premise is that it's not for you to show that your employment is continuous, rather the onus is on your employer to prove that it's not
Then go to 210(3)(b) & 212(1). If there wasn't a gap of a week between the 2 periods, the employment is continuous.
Finally you check 214 to ensure that you haven't already been otherwise compensated.