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Redundancy Q&A help

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Leggy_Girl
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Joined: 12 Apr 2004
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PostPosted: 16:20 - 12 Feb 2008    Post subject: Redundancy Q&A help Reply with quote

My employers are making 35 people redundant. That's not many I hear you say, but it is when there are only 90 of us to start with.

They told us last Tuesday about the impending redundancies and that those at risk would know by this Friday. Today they changed their minds and have decided to now let us know by March 10th. I've been worried enough the last week, i'll be a mess in a months time Thumbs Down

It's not like i'll lose my dream job if i am selected, but I am worried about not having a regular income. I have bills to pay like everyone else after all.

I was looking to leave before the redundancy issue came up, so now i'm trying even more to get a new job and quick!

If I were to be made redundant, would I be able to claim Job Seekers Allowance straight away, if I didn't have a new job by then?

Also what's the deal with voluntary redundancy and is it worthwhile? I hear you get some sort of payout (?) if you volunteer and they accept it, but there has to be a catch?

Thanks in advance Thumbs Up
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karen_moomin
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Joined: 11 Apr 2004
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PostPosted: 16:39 - 12 Feb 2008    Post subject: Reply with quote

Hi LG

Sorry to hear about your pending possible redundancy. I've been there too so I know all too well the worry and unsettle that it causes.

In this situation, do not let on to your employers that you are looking to leave. If they get wind of it, you won't be made redundant and you won't get any £!

My advice would be to hang on in there and see what they offer you. You will usually have to work a notice period, or get "garden leave" where you will be able to job hunt, go for interviews etc. It is well worth waiting until you have a confirmed redundancy package before doing anything.

I'm not sure about JSA, I was lucky enough to get something lined up during my notice period, so I went straight into a new job, whilst also getting a nice chunk of cash too. If you're in the same boat you shouldn't need to worry about JSA as should have plenty of time to get a new job.

Good luck, keep us posted! Thumbs Up
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LeeR
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Joined: 12 Dec 2006
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PostPosted: 19:03 - 12 Feb 2008    Post subject: Reply with quote

There's a wealth of information out there that'll help calm your nerves, armchair advice offer a quick overview of your rights, and some useful links.

To answer your specific question, yes you will be entitled to JSA, Housing Benefit, and Council Tax relief if made redundant.

If you've been there more than 2 years you will be entitled to statutory redundancy pay @ £310/wk or a week's wages per year of service whichever is the smaller amount.

I've been made redundant 4 times in 20 years and to be honest, everytime it was an agreeable way of getting out of a job I was tired of. So as karen says I'd bid my time, see if I was made redundant take the money and look for a new job during the notice period, or if not redundant keep the job and look for a new one then.

One last point and it's really important, if you are made redundant go to the Job Centre and start the claim process asap. It's important because they will cover you NI contributions, and secondly because if you try and tell them later they won't back-date it. I made this mistake once and my employer defaulted on my last salary leaving me with no income for a month. Even if they say you don't need to do anything, get in there and get them to make a note on your file that you asked to claim on 'x' day and date. You can take the JSA forms home and take them back when you really are out of work, and you'll be claiming "contribution based" JSA, because you've contributed to your NI.

All the best Thumbs Up
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gemma1675
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Joined: 20 Mar 2006
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PostPosted: 13:07 - 13 Feb 2008    Post subject: Reply with quote

Quote:
Also what's the deal with voluntary redundancy and is it worthwhile? I hear you get some sort of payout (?) if you volunteer and they accept it, but there has to be a catch?


Often (but not always) a company will offer enhanced terms, over and above what they are legally obliged to pay, to encourage volunteers. It can be worthwhile if you have been in the company for quite a while.

Quote:
If I were to be made redundant, would I be able to claim Job Seekers Allowance straight away, if I didn't have a new job by then?


As I understand it you won't be able to claim jobseekers allowance during your notice period. You normally get pay in lieu of notice for redundancy, but the time period is still relevant to benefits. So there could be a time period after you leave when you cannot claim because you have already been paid for it.

I would recommend you get yourself on the ACAS website, loads of info on there.
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Leggy_Girl
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Joined: 12 Apr 2004
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PostPosted: 12:46 - 14 Feb 2008    Post subject: Reply with quote

Thanks for the info guys. Very Happy I did have a quick look around a few sites about it before posting but none of it was sinking it because I was so stressed about everything. I've now had a look at the webistes you gave and i'm much more clued up now, so i'm not so anxious.

I haven't been there long, only 2 and a half years, so if i were to be made redundant then at least i'd get 2 weeks wages. Also, as i've only been there 2 years it doesn't sound like voluntary redundancy would do me much good. If i get to keep my job i will definitely do as LeeR says and keep looking for something new.

Whatever happens i think im on a sinking ship so i cant stay. If i get made redundant i'm out of a job. Bad times. If i do survive the cuts then my work load triples and staff morale goes through the floor. Also bad times. Sad

On the plus side though like i said i was trying to leave anyway so this is just extra incentive. I'm going to try stay positive and hope things will brighten up once i find something new. Good times Smile
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