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Ben Jones
Ben Jones, UK Lawyer
Category: Law
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I have worked for Rowlands Clothing for 6 years. In February

Resolved Question:

I have worked for Rowlands Clothing for 6 years. In February 2012 we were bought out by a company called Rosemex. Now we are still trading as Rowlands and was told that our existing contract of employment still stands. They have honoured the extra day holiday for worker who have been there for over 5 years. However things are not looking good at the moment and i just want to know where I stand?
If the company goes under what will I be entitled to? I am on a monthly salary.
My name isXXXXX
Submitted: 3 years ago.
Category: Law
Expert:  Ben Jones replied 3 years ago.

Ben Jones :

Hello, my name is XXXXX XXXXX it is my pleasure to assist you with your question today.

Ben Jones :

Do you think they may go insolvent?

Customer:

It could go either way Rosemex said they bought the buisness to make it better then sell it on so they may do that

Ben Jones :

Was the term TUPE mentioned when they took over?

Customer:

no, not that i can remember no

Ben Jones :

ok let me get my response ready please

Customer:

ok

Ben Jones :

If the company had taken over the old one and continued running the same business then a piece of law called TUPE would have applied and that would have given you certain protection over your employment rights. Basically, your employment would have continued without a break and you would have retained your existing terms and conditions.


 


What happens next really depends on whether the company is sold again or if they go under. If they are sold again, then TUPE could certainly apply again which would mean you automatically transfer to the new employer and keep your length of service and existing terms and conditions.


 


If they go insolvent, then it is going to be a redundancy situation. The employer would be looking at making you redundant, unless they can offer you another position that is available. If redundancy is the only option you would be entitled to a redundancy payment, notice pay and any outstanding holidays.

Customer:

By the sound of it TUPE is what has happened. If it does goe to redundancy what what would I be entotled to?

Ben Jones :

1. Redundancy pay (https://www.gov.uk/calculate-your-redundancy-pay)
2. Notice period as per your contract (must be at least 1 week for every full year of serviuce)

Ben Jones :

3. Any outstanding holidays for the current holiday year

Customer:

Thank you that has made it a lot clearer.

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