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Ben Jones
Ben Jones, UK Lawyer
Category: Employment Law
Satisfied Customers: 50150
Experience:  Qualified Employment Solicitor
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Dear Advisor, I am being made redundant, I've had three

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Dear Advisor, I am being made redundant, I've had three consultations (less than 20 people will be going) I no have a letter which sets out the terms and conditions of my redundancy for signature by 15th September and there is a clause that says "It is a further a condition of making the payment that you have not issued and will not issue any claim in connection with the termination contract. In the event that you do make a claim, the company will be entitled to recover from you the sum payable under paragraph 3 of this letter". Paragraph 3 has the total redundancy figure plus it says "Under the terms of the scheme this figure will be reviewed if your salary changes before your Termination Date". My question is, does this sound like a fair clause? Thank You.
Customer: replied 1 year ago.
Dear Advisor, I have just reread my letter an noticed another clause as follows: "You have the right to appeal against termination. If you wish to do so you should submit full written grounds for your appeal to People Services, {Address in Birmingham}, within the next 5 working days". My letter is dated 1st September. Thank you.

Hello, my name is***** am a qualified lawyer and I will be assisting you with your question today.

How long have you worked there for?

Customer: replied 1 year ago.
28.75 years

Thanks i will reply later this aftnoon, I am in tribunal today so cannot take calls at present

Hi there, the clause which says your employer can recover the payment in the event you make a claim against them is not going to be legally binding unless your employment was terminated under a settlement agreement. This is where you have to go and get formal legal advice about the agreement you a signing and be happy to accept the terms following such advice. If the employer simply puts this in a letter to you, without it having been included in a formal settlement agreement, it will not be binding because it basically prevents you from making a claim against them and you cannot five up these rights in any other way apart from under a settlement agreement.

In terms of changing the final figure if your salary changes in the meantime, you have to consider how likely that is. For example, does your contract allow the employer to change your contractual pay? If not, then changing it without your consent will be a breach of contract and they cannot just make such changes at short notice just before you are due to leave just to reduce your entitlement.

Finally, if you have the right to appeal the redundancy within 5 days but received the letter several days after it was dated, the employer should at least count the start of these 5 days as the date on which you received the letter.

This is your basic legal position. I have more detailed advice for you in terms of the options you have to pursue your redundancy pay if they decide not to pay you, which I wish to discuss so please take a second to leave a positive rating for the service so far (by selecting 3, 4 or 5 stars) and I can continue with that and answer any further questions you may have. Don’t worry, there is no extra cost and leaving a rating will not close the question and we can continue this discussion. Thank you

Ben Jones and other Employment Law Specialists are ready to help you
Customer: replied 1 year ago.
Hi Ben, I am not sure of the difference between a formal "settlement agreement" and this letter (2 pages long) which I believe is my "redundancy notice". In terms of salary it says that "You will continue to receive our normal salary and benefits in kind up to and including the Termination Date". Changes to my salary may be referring to a query I raise during the final consultation period about a performance bonus that I will have missed out on by 4 weeks or so due to the termination date. They have said verbally that they will "sort something out" nearer the time but it has not been expressly mentioned in the letter. I have no reason to believe that I won't get my redundancy pay but rather that I may have forgotten to raise some important points or benefits that I would not be able to raise a claim for after signing the letter. Thank you.
Customer: replied 1 year ago.
34;your" normal salary and benefits in kind...

A settlement agreement is a document for which you must take legal advice, formal legal advice by visiting a solicitor, who will sign it off by issuing a certificate to say that you have received such legal advice. Without it, it is not a settlement agreement. So the employer cannot prevent you from pursuing your legal right to raise a claim about something you are legally due by them just because they have said that in their letter. They can only do this under a settlement agreement and as mentioned if you have not taken formal legal advice on the document then it will not be a binding or legal settlement agreement.

Customer: replied 1 year ago.
Dear Ben, No more questions at this stage and thank you for your help.

No problem, thank you