Started Feb06: Boss wont pay statutory redundancy, ownership structure changed in 07.

My old boss wont pay redundancy.

He says I am not entitled to it as he set up a new company in June 2007. Prior to that he was in partnership with another person and they went their separate ways in May 2007.

I started in the first company in Feb 2006.

He made me redundant in Feb and gave me a letter saying I was owed statutory redundancy but now he wont pay it.

If i take him to court i think its very unfair that i have to pay the legal fees even if i win.

As it is i am broke and am banking on that small amount of redundancy to pay my mortgage and just about get by.

Can anyone give me advice on what to do?

Re: Started Feb06: Boss wont pay statutory redundancy, ownership structure changed in

Ignoring the possible issues of transfer to a new business, when did your boss state that you started in the new company? If that was 2 years before you were let go then you still have a claim against that company. Once you are empoyed for 2 years you are entitled to 2 weeks pay per year of service + a week. So 2 years of service gives you 5 weeks pay. If you have less than 2 years with the new company then the issue of transfer of employees from old to new comes into play, were the employees notified, were P45's issued, were there new contracts of employment etc.

Re: Started Feb06: Boss wont pay statutory redundancy, ownership structure changed in

Hi Graham, thanks for response. i started in new company in june 07. so that means i was less than 2 years in new company so the issue of transfer from one company to another comes in to play. in june 07 he issued a p45 and paid voluntary redundancy ( this was actually a bonus payment at the time but was put down as redundancy) and as a result when i finished up in feb 09 he stated on my letter of notice i was due statutory redundancy from the day i started in 1st company and also signed an rp50 form saying i was due this money but he couldnt afford to pay it. he is now using the redundancy i already got as reason i shouldnt get any now but has contradicted himself by signing redundancy letter and rp50 form saying i was due it.

Re: Started Feb06: Boss wont pay statutory redundancy, ownership structure changed in

I think that you need advice.

But before you get that advice, you will need to demonstrate why the first redundancy payment was in fact a bonus payment. Have you any documentary evidence of this ?

Re: Started Feb06: Boss wont pay statutory redundancy, ownership structure changed in

Some information on transfer of undertakings here: [broken link removed]

You may need to take a case to a rights commissioner.

Re: Started Feb06: Boss wont pay statutory redundancy, ownership structure changed in

thanks for your responses. no i cant show first redundancy was a bonus payment. i acccepted it as redundancy at the time not realising why he put it down as redundancy. only thing that might stand in my favour is that i wasnt due any statutory redundancy at the time and they told me in NERA that they wouldnt class it as redundancy regardless of whether i accepted as redundancy at the time beacuse i wasnt legally entitled to anything.