Your rights if your employer is insolvent

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Your rights

You have different rights depending on whether your employer:

  • makes you redundant (dismisses you)
  • asks you to keep working
  • transfers you to a new employer (if the business has been sold)

Your employer must have a consultation about why redundancies are happening and if there are any alternatives - they do not have to consult you directly.

If you바카라 사이트™re made redundant

You바카라 사이트™re made redundant if you바카라 사이트™re dismissed from your job.

The person who is dealing with the insolvency (the 바카라 사이트˜insolvency practitioner바카라 사이트™ or 바카라 사이트˜official receiver바카라 사이트™) must tell you how your job is affected and what to do next.

They바카라 사이트™ll also give you a:

  • RP1 fact sheet
  • 바카라 사이트˜CN바카라 사이트™ (case reference) number to use when you apply for money you바카라 사이트™re owed

You can apply to the government for:

  • a redundancy payment
  • holiday pay
  • outstanding payments like unpaid wages, overtime and commission
  • money you would have earned working your notice period (바카라 사이트˜statutory notice pay바카라 사이트™)

Businesses can go through more than one insolvency. You cannot claim outstanding payments between the day of the first insolvency and the day you were dismissed, even if you did not know about the previous insolvency.

You can also apply to the court for compensation if you think you were dismissed unfairly or not consulted properly.

Compensation because you were dismissed unfairly

You can make a claim to the employment tribunal if:

  • you were dismissed unfairly (바카라 사이트˜basic award바카라 사이트™)
  • there was not a consultation about your redundancy (바카라 사이트˜protective award바카라 사이트™)

You바카라 사이트™ll be claiming against the Secretary of State for Business and Trade and your former employer (바카라 사이트˜the respondents바카라 사이트™).

If you continue working after the insolvency

You might be asked to continue working for your employer after they become insolvent.

You바카라 사이트™ll still be eligible to claim for redundancy pay and other money you바카라 사이트™re owed if you바카라 사이트™re made redundant at a later date.

You cannot claim holiday pay, wages, bonuses or commission that you바카라 사이트™re owed between the day of the insolvency and the day you were dismissed.

If you바카라 사이트™re transferred to a new employer

You cannot claim any money from the government if you were transferred before your former employer became insolvent.

If you were transferred afterwards, you can apply for redundancy pay, statutory notice pay and outstanding payments such holiday pay, wages, commission and bonuses.