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Redundancy

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dsvd | 05:26 Thu 04th Jun 2015 | Law
4 Answers
Does a parent company if it purchases another company to operate under it have to pay redundancy for the years of employee service prior to its purchase?

Also can the parent company which now owns and operates the purchased
company not have to pay the redundancy if it offers a transfer within/outside
your county?

What if the within county transfer is only accessible by car for start/finish
and you do not have private transport?

Thank you

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They must have to pay any redundancy payments due.
I don't know what happens re. alternative employment. I suppose, as long as it's reasonable, you have to take it. But I'm only guessing (till the experts get here)
Agree with Svejk - Once a company Acquires another company, it is tied in to ALL costs associated with the company - including owed monies pending payment.
Your contract will have been 'Tupe'd' across so the contract remains exactly the same, but the new company is responsible for it.
Have a read through your contract and see what it says about redundancy - it should be mentioned in there.
If not, have a look at this for advice on the 'transfer job' offered and how it may affect your redundancy offer - I take it that you have not been offered voluntary redundancy? Is it compulsory?
Please note that the new company can't make you redundant just because they have taken over your old company:
https://www.gov.uk/transfers-takeovers/redundancy

wishing you all the best (MY OH has recently been made redundant and I am expecting the same soon to come my way, so I really do wish you good luck) x
.
Pease - sorry for that ( redundancy ) and hope OH gets another job soon and you are not jobless ( even in this booming economy )

I have shown empathy on other threads in Law and been slagged off for it by the usual suspects so this time I will say - it is only because we need employees to pay taxes for my pension ! No empthy there then

and the fella that said 'you need to read your contract' wins a star for his fridge !

First question- Yes - I dont think anyone will dispute that under TURLA rules as answered above

Q2 - and Q3 are related
This is where the Average ABer says - " ugh this is gibberish !"
The leading cases are Murray v Foyle Meats ..... and
Safeway v Burrell

I have checked and if you plug the cases into an URL bar the judges' very words are available. Murray - an abattoir owner wished to close down one abattoir line as contracts had diminished and redundancy was lawful

In Safeway, S wanted a supervisor to pack shelves and labelled the new job "supervisor". The two cases contrast the 'factual' approach ( supervising and packing shelves ) as against the contractual approach ( what it says in your contract )

The employer has to act reasonably

In terms of whether the transfer to another COUNTY
one commentator er comments [ gibberishly]

In assessing the reasonableness of the employee’s refusal to take up alternative employment, subjective considerations are taken into account by employment tribunals , e.g. travelling and its effect on domestic life, loss of friends and the effect on children’s education if a house move is required, - also the employee’s view on being able to do the job to a reasonable standard. and the lecturer says the leading case for that is Standard Telephones v Yates - so not having a car would seem to be covered

well these are the current views

as you can see it is reasonably complicated and I think you and the workforce should unionise ( if you can ) as unions specialise in all this sort of thing and the questions you raise are reasonably common ( so the unions will know the answer )

You will get a variety of views here including those who seem to work in well paid HR and scream - "we just fire them Ha! and let em starve !"

These questions you ask are worth money ( yours ) and eventually one of you are gonna have to go to an employment lawyer and find out if what I say is true .... anyway good luck ( damn ! that damned empathy thing sticking out again ! )

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