Hello, my name is ***** ***** it is my pleasure to assist you with your question today. How long did they have the BUPA cover for and does the contract say that you can pay the person in lieu of notice?
The car allowance would be payable during the notice period – the employee would either have to be given use of the car for that period or be paid the equivalent for their car allowance. The BUPAS cover has not really been in place for long enough for them to try and argue that it has become a contractual term so if you have a PILON clause then you do not have t pay it. However, if no PILON clause exists then technically you cannot dismiss them by paying them in lieu of notice and you may have to consider paying them the equivalent of the cover or at least allowing them to benefit from it for the notice period.
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