Please help redundancy re-employment advise

[donnygirl]

The factory manager where my OH works has announced that 1/3 of the staff are to be made redundant, inlcuding my OH. My OH is the only employee who does his particular role (a mixture of H&S and record keeping). On Friday his line manager said that after my OH has been made redundant he can return as a contractor. My understanding of the redundancy rule is that a person can only be made redundant if their job role ends. As my OH's line manager says that he can return as a contractor that seems to mean that his job role is not ending. My question is can the company make my OH redundant and then him be re-employed as a self employed contractor? Thanks in advance for any advice.

[Tapir]

The factory manager where my OH works has announced that 1/3 of the staff are to be made redundant, inlcuding my OH. My OH is the only employee who does his particular role (a mixture of H&S and record keeping). On Friday his line manager said that after my OH has been made redundant he can return as a contractor. My understanding of the redundancy rule is that a person can only be made redundant if their job role ends. As my OH's line manager says that he can return as a contractor that seems to mean that his job role is not ending. My question is can the company make my OH redundant and then him be re-employed as a self employed contractor? Thanks in advance for any advice.

 

Maybe your OH has a case. Usually, but not always, employers check up on the legality of their actions prior to taking the actions. I would suggest that in the present economic climate however your OH does not begin making enemies of the people who were once his friends. Times are going to get tough donnygirl.

[andyofborg]

You need to get some proper professional advice about this and quickly.

 

There are a couple of key questions you OH needs to ask:

a) will I be working the same hours?

 

If staff is being reduced then there may be less work for him to do, in which case he won't be needed as much and won't get paid as much.

 

b) what will my hourly rate of pay be?

 

Self employed people pay different rates of tax, ni etc and have to meet employment costs such as insurance, protective clothing, training etc. So offering the same hourly rate might not bring as much money in, even if he works the same hours.

 

Aside from the legality of the redundancy issue, there may also be a tax issue.

 

Simply saying your self-employed doesn't make you self employed and HMRC is likely to see this situation as an attempt to avoid tax/ni and will be unforgiving with both the employer and employee.

[davyboy]

The factory manager where my OH works has announced that 1/3 of the staff are to be made redundant, inlcuding my OH. My OH is the only employee who does his particular role (a mixture of H&S and record keeping). On Friday his line manager said that after my OH has been made redundant he can return as a contractor. My understanding of the redundancy rule is that a person can only be made redundant if their job role ends. As my OH's line manager says that he can return as a contractor that seems to mean that his job role is not ending. My question is can the company make my OH redundant and then him be re-employed as a self employed contractor? Thanks in advance for any advice.

 

Read this first,

http://www.adviceguide.org.uk/index/your_money/employment/redundancy___an_introduction/when_can_your_employer_make_you_redundant.htm

 

 

then phone ACAS:

 

Helpline

 

The Acas Helpline is the place to go for both employers and employees who are involved in an employment dispute or are seeking information on employment rights and rules. The Helpline provides clear, confidential, independent and impartial advice to assist the caller in resolving issues in the workplace.

 

Monday–Friday, 08:00–20:00 – 08457 47 47 47

Monday–Friday, 08:00–20:00 – 08456 06 16 00 (Minicom users)

 

Saturday, 09:00–13:00 – 08457 47 47 47

 

CAB can also help.

[andyofborg]

Another thing, if you are taking advice, then you also need to enquire about the way the redundancy process has been carried out. You can't just say "your redundant", there is a whole sequence of "at risk" notices, and consultation's to go through, especially if a large number of staff are leaving.

 

If there is an opportunity to return as a "contractor" of some sort, then it suggests that the role still exists but possibly only as a part time role and it might be better for your OH to offer that alternative and then look for a full time post with a new company.

[Berberis]

The factory manager where my OH works has announced that 1/3 of the staff are to be made redundant, inlcuding my OH. My OH is the only employee who does his particular role (a mixture of H&S and record keeping). On Friday his line manager said that after my OH has been made redundant he can return as a contractor. My understanding of the redundancy rule is that a person can only be made redundant if their job role ends. As my OH's line manager says that he can return as a contractor that seems to mean that his job role is not ending. My question is can the company make my OH redundant and then him be re-employed as a self employed contractor? Thanks in advance for any advice.

 

Howells solicitors in town offer advice on redundancy.

[donnygirl]

Thank you all for your advice. It's still early days since the factory manager made his announcement. We took it for granted that the company owners (a huge American company) had thought it through legally which was why I was questioning my understanding of the redundancy rules. Although my OH isn't in a union the rep for most of the other employees has said he will include my OH's case in discussions with management. I think that my OH will speak to the rep next week raisng the points posted here and also phone acas. Thanks again.

[Grandad.Malky]

If there is an opportunity to return as a "contractor" of some sort, then it suggests that the role still exists but possibly only as a part time role and it might be better for your OH to offer that alternative and then look for a full time post with a new company.

 

That looks like the sensible option to me.

[Bedders]

Sorry to hear what is happening to your OH, it's not pleasant.

 

It's sad, but in the times we live in, it's a fact of life. My understanding of it, & i've heard this story all too often, is that the company can 'restructure' it's operations & give new 'job titles' for similar roles & alter job responsibilities slightly & it's all legal & above-board. For all intents & purposes it's the same job with the same role. Stinks I know, but on the up side, as a previous poster said you can't just say to someone you are redundant. They have to follow procedures, consulatation, & even offer alternative jobs if possible.

 

Read this :-

http://www.direct.gov.uk/en/Employment/RedundancyAndLeavingYourJob/Redundancy/DG_10029835

 

Seek advice if possible if you don't start getting a series of letters saying your job is at risk & a series of meetings should follow. You can't just show someone the door (unless they have less than 1 years service where you may have limited rights).

 

Best of luck.....and chin up!

[ricgem2002]

i think in this present situation this is going to be the norm soon turning our workforce into (agency) workers . i dont think this new government will do anything about it thou ? sorry not to be helpful but i think this is going to be an on going thing when different employers jump on the bandwagon