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Ben Jones
Ben Jones, UK Lawyer
Category: Law
Satisfied Customers: 47418
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My employer offered voluntary departure with the usual conditions

Resolved Question:

My employer offered voluntary departure with the usual conditions for redundancy payment . I accepted after an offer which was more than I expected and i thought they would come back and say this was mistake . They have now paid the sum offered . Am I legally abliged to return this money or is it a moral issue only ?
Submitted: 2 years ago.
Category: Law
Expert:  Ben Jones replied 2 years ago.
Ben Jones :

Hello, my name is ***** ***** it is my pleasure to assist you with your question today. Why was it more than you expected - what was the figure you expected based on?

Customer:

The money paid is full annual salary - far more than statutory redundancy offered.

Ben Jones :

did you have any contractual entitlement to enhanced redundancy?

Customer:

No

Ben Jones :

And the money you received was actually mentioned in the offer they made, which you then accepted?

Customer:

Yes

Ben Jones :

the key here is whether they did intend to make such an offer or not. As a minimum you are entitled to the statutory redundancy payment but that is just the minimum threshold - the employer could offer you more, up to whatever amount they wish. Often employers can provide redundancy incentives, especially in VR cases, where they up the statutory amount one may be entitled to, in order to make it more appealing and prompt people to come forward for redundancy. So as long as there was no indication that this was obviously done in error, as in there was no other indication that they had other payments in mind, you do not have to do anything

Customer:

This was offered across the organisation and mine was initially turned down . On a second trawl for people mine was accepted. We did have to completed in the first instance the gov.page for redundancy but the correct sum was not offered to me in any letter from any source at any time.

Ben Jones :

you have no reason to believe that what was offered and paid to you was not what you were supposed to get so even if that was not the case and you knew you were overpaid, there is still no legal obligation on you to inform the employer. If they realise they have paid too much they can contact you and ask for a repayment, or if necessary go to court, although that right expires after 6 years, after which the money is yours regardless

Customer:

Many Thanks for help

Ben Jones : You are welcome
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