Payment in Lieu of Notice - Employment Law Experts?

Noopti

Hey,
Just a quick question. The way I understand "Payment in Lieu of Notice" is that with a redundancy the employer basically pays you your standard monthly remuneration in forfeit of actually giving you a notice period.
I understand that this payment must include all your normal monthly remunerations eg: Salary, Pension, Health Insurance etc.

However is the payment calculated on a standard month, or is it what you would normally get paid during the month of the notice?

So say, for example, the company pays a quarterly profit sharing bonus and that bonus is due to be paid during the month you would normally have worked during a notice period - does the company have to include this bonus payment in the payment in lieu of notice?

Thanks in advance for any help!

Victor

No experts here. If you feel hard done by, talk to your union or solicitor.

It might really depend on the conditions of the contract. Many bonuses are just that bonuses - they aren't something you are entitled to. However, if the bonus is linked to say, a sales target, then there might be grounds for having it included.

Of course, if you are being made redundant, can the company afford a higher pay-out?