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Ben Jones
Ben Jones, UK Lawyer
Category: Employment Law
Satisfied Customers: 48162
Experience:  Qualified Employment Solicitor - Please start your question with 'For Ben Jones'
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I am about to be made redundant from a company that I have

Resolved Question:

Hi, I am about to be made redundant from a company that I have worked for since March 2008. I would like to find out if I can make them pay my bonus (that I have worked hard for all year) even though they do not plan to, I have the below wording in my contract. Our bonus period runs from Jan to Dec and is payable in our Dec paycheck on Dec 14th. I will be put on gardening leave on the 2nd Nov and my last formal day as an employee will be Dec 14th which is pay day and bonus day (my notice period is 7 weeks which corresponds to my gardening leave date).
Payment of all bonuses is subject to:
You being in employment on the bonus payment date, and you not having given or received notice as at the payment date to terminate your employment;
I would be grateful if you could advise if legally I would have a case.
Thanks
Sarah
Submitted: 2 years ago.
Category: Employment Law
Expert:  Ben Jones replied 2 years ago.
Hello, my name is***** am a solicitor on this site and it is my pleasure to assist you with your question today. Do you know if in the past bonuses have been paid even I someone is under notice of termination?
Customer: replied 2 years ago.

Hi Ben

Unfortunately I dont know if in past years but certainly in the recent redundancies they havent been paid

Expert:  Ben Jones replied 2 years ago.
There is some case law on this matter and also a very good practice note explaining your position, which you can access here: http://www.landaulaw.co.uk/bonuses/ Basically the position is that your entitlement to the bonus will depend on what is in your contract, as well as what has ordinarily been occurring up to date. Your contract specifically says that you should not be under notice of termination at the time the bonus is due for payment. At first glance that would give the employer the advantage and they could legally rely on that clause to try and deny payment. However, you have stated that in the past they have paid out in circumstances when someone has been under notice of redundancy so this could have set a precedent for your case. Also it may go against the implied contractual term of trust and confidence where you have worked hard all year to try and achieve the bonus criteria only to be denied it due to a technicality. So in some cases it could be deemed unfair and unreasonable to deny the payment of the bonus and you should be entitled to at least a pro-rata payment of it. The problem is that there is no definitive right or wrong answer – this is something only a tribunal or court can determine with more certainty. You may approach the employer to argue your case and use some of the above information but if they refuse to agree then you may only challenge them further by taking this to the employment tribunal or court. I trust this has answered your query. I would be grateful if you could please take a second to leave a positive rating (selecting 3, 4 or 5 starts at the top of the page). If for any reason you are unhappy with my response or if you need me to clarify anything before you go - please get back to me on here and I will assist further as best as I can. Thank you
Customer: replied 2 years ago.

Thanks Ben. Just one point to clarify on I think maybe you misunderstood my earlier reply. As far as I am aware I dont know if they have paid out a bonus in the past in circumstances where someone has been under notice of redundancy. I know for sure that they havent been paying out any part bonuses in the recent redundancies.

In your opinion do you think I would stand much of a chance in an employment tribunal or court against a big company. Thanks

Expert:  Ben Jones replied 2 years ago.
I see sorry for the misunderstanding. It would not necessarily change your position much as there are still other factors that would work both for and against you. The issue is I cannot state how likely you are to succeed. The fact it is a big company does not necessarily make it worse for you - the law is still the law regardless. However, a lot of this would depend on how a judge views it and one judge on one day could come to a completely different outcome to a different judge on another day. Before going to tribunal you still have to use ACAS and go through their free conciliation service where they negotiate with the employer to try and settle this so you may as well try that as you have nothing to lose and it is free. If your original question has been answered I would be grateful if you could please quickly rate my answer by selecting 3, 4 or 5 starts at the top of the page - it only takes a second to do and is an important part of our process. I can still answer follow up questions afterwards if needed. Thank you
Customer: replied 2 years ago.

Thanks Ben. I presume I just google ACAS online to go through that process.

Expert:  Ben Jones replied 2 years ago.
The conciliation procedure and the form to fill in can be found here: https://ec.acas.org.uk/Submission/SingleClaimantPage
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