As you will be paid for the work which you have done, you will not have any claim for unpaid wages.
However, depending on the specific circumstances, you may have claims against the Redundancy
Payments Service (“RPO”) which will be paid to you direct subject to statutory limits and a balancing claim
in the Administration for certain unpaid benefits, including:
- Statutory redundancy pay:
You must have two years’ continuous employment with the Company to qualify for statutory
redundancy pay. The number of weeks used to calculate your redundancy payment depends on
your age and length of service. Statutory claims are paid to you by the RPO.
- Statutory Redundancy is currently capped at £489 per week (in Northern Ireland it is £500)
and will increase to £508 for any redundancies arising after 6 April 2018.
The following websites provide details on
a) Claiming for redundancy and monies owed ‐ https://www.gov.uk/claim‐redundancy
b) The calculation of your redundancy pay ‐ https://www.gov.uk/calculate‐your‐
redundancy‐pay orhttps://www.nidirect.gov.uk/articles/redundancy‐pay in Northern Ireland.
- Payment in lieu of notice:
If you have not worked your statutory notice or did not get any statutory notice from the company, you can make a claim at the statutory limit against the RPO for payment in lieu of notice (statutory notice pay). Any sums due to you above the statutory limit will be an unsecured claim in the administration which means that you are able to submit your claim to the administrators and may be entitled to a “dividend”, if the assets sold in the administration generate sufficient funds.
Statutory notice is calculated as a week for every completed year of service up to a maximum of 12 weeks. The payment in lieu of notice is calculated using your contractual hours; where you do not have typical hours, it is calculated as an average over the previous 12 weeks in which you received pay. You are under a legal duty to reduce your claim for payment in lieu of notice as much as possible. You should claim any jobseekers allowance or other benefits to which you are entitled and try and obtain other employment as quickly as possible.
- Unpaid wages
Unpaid wages will be paid by the Company. Therefore, it is anticipated that Team Members will not have claims for arrears of pay.
- Holiday Pay
The move of the company from a CVA to an Administration means that Team Members cannot claim for arrears of holiday pay from the RPO. Any holiday pay accrued after the date of the CVA will rank as a preferential claim in the administration. Preferential claims will be calculated on behalf of Team Members by the Administrators and are expected to be paid in full in due course.
- Unpaid Expenses
Pre-administration expense submissions received by Sunday 4 March 2018 will be reviewed and paid in line with the Company’s expense approval and payment policy. We strongly encourage anyone with unsubmitted expense claims to submit these as soon as possible.
Pre-administration expenses not received by Sunday 4 March 2018 will rank as an unsecured claim in the administration. These cannot be claimed from the RPO. You will need to submit a proof of debt form to the Administrators. Any expenses which are incurred during the period of the administration should be authorised in advance by the Administrators. Authorised expenses will be reimbursed. A failure to obtain prior consent is likely to result in those expenses being unpaid.
Where can I go for support?
JobCentre Plus, through its Rapid Response Service, is ready to support any employee affected by redundancy.
Support could include:
- helping people facing redundancy to write CVs and find jobs
- providing general information about benefits
- helping people to find the right training and learn new skills
- helping with costs like travel to work expenses.
In Scotland, redundancy support is provided through the Scottish Government’s Partnership Action for Continuing Employment (PACE) initiative.
The PACE Redundancy Helpline 0800 917 8000 is operated by Skills Development Scotland or help is available at www.redundancyscotland.co.uk.
In Wales, the service is delivered by the ReAct scheme.