Better off financially if made redundant . . What to do ! !

LegacyUser

Hi,

I had my first child nearly 5 months ago and I am due back in work in September. The truth is that I would much prefer to look after my child, then have somebody else do it.

Aside from that, my employer is looking for me to take a 28.5% paycut. That , coupled with Child minding costs would actually make me worse off financially then if i were made redundant and got state aid. In essence I might be working full time for about 100 - 150 less a week.

I know there are moral issues that some people would hold against me, but when your family are already struggling to pay the bills, the last thing you worry about are the justification of ones actions (in this instance).

Just wondering if its uncommon for people to ask to be made redundant ? My employer is very small company. I practically had to pull hens teeth to get them to discuss my terms when I return (as obviously I need to know where I stand so I can budget).

Any advice or suggestions welcome. I believe that I would be entitled to nothing if I simply left. Im not really sure what stance my employer is taking. They already mentioned that they want to pay me a "receptionists" wage when that wasnt originaly my job. I originally thought that they couldn't just change my salary (terms of contract) but I read somewhere else, they can reduce my salary if they proove that company cannot afford it!

I have been in twice to discuss my job with my employer, but they are devils for procrastinating over what to do. That said, I have a good relationship with them to date. Im just worried that this could turn stale and get nasty if I dont handle it properly!

If I am made redundant, will I definantly be entitled to some sort of jobseekers allowance ?

If so, is there a timescale in which I will be able to avail of this benefit ?

Thanks for any help

mikemac

Unregistered wrote: »

Hi,
I had my first child nearly 5 months ago

Congrats

Unregistered wrote: »

The truth is that I would much prefer to look after my child, then have somebody else do it.

A noble thing to do, cool

Unregistered wrote: »

If I am made redundant, will I definantly be entitled to some sort of jobseekers allowance ?

You would.....................but are you actually going to be activly seeking work?
If you're not then what happens when the SW ask you for proof that of job applications? Or when they send you on a FAS course?

Otis Driftwood

A 28.5% pay cut?:eek:

Holy hell.

LegacyUser

Well I was going to try to get a job locally that would be more flexible .

That said, there arent an awful lot of jobs out there at the moment where I am living. . How choosy can you be (like would they expect you to apply for every newsagents job or mcdonalds etc).

Also , is there any chance if I took an involuntary paycut that I might be entitled to state subsidy of some sort ?

helimachoptor

nedtheshed wrote: »

A 28.5% pay cut?:eek:

Holy hell.

Yeah quite shocking!

The_Conductor

OP- you would do well to read the between the lines regarding social welfare cuts in the December budget (such as here)

Everyone has had to accept salary cuts thus far- and more are coming down the line- but there are also social welfare cuts coming (given that social welfare now accounts for 22 billion of our budget and we have a deficit approaching 28 billion in the current year).

Just because you might be better off financially on social welfare *now* does not mean you will be in December.......

Eoin

Could you ask about working a reduced week instead and cancel out some of the childcare costs?

The_Conductor

Something else to consider- with the abolition of the under 5 grant- there are supposed to be childcare hours provided to working parents instead (its not much- I think its 3 hours a day- but it would help).

mehmeh12

If you've paid tax then your entitled to receive benefits...seems like a no brainer...losing your job= more money.

The_Conductor

mehmeh12 wrote: »

If you've paid tax then your entitled to receive benefits...seems like a no brainer...losing your job= more money.

Its unclear whether the OP is 'loosing her job' or whether she is actively removing herself from the workforce.

JB is payable if you have sufficient stamps. JA is means tested (and a partner's income would be taken into account). In both cases there is the expectation that you are actively seeking employment (regardless of whether you find it or not). In the OP's case- she would rather stay at home and mind her child- which were it known, would exclude her from claiming the dole.

LegacyUser

Thanks for all the advice people . . .

I appreciate constructive criticism as much as positive feedback . .

The situation is difficult to clarify. Basically my employer is not clarifying how he sees my position when I get back. My actual position may be altered (ie from my original job to being a receptionist).

I am not so sure how flexible my employer will be. They made it clear that they need a full time receptionist.

The way the state benefit is now v if I go back to work full time.

Well Assuming that its €200 a month for childcare (which Is a conservative estimate, I would imagine 9-5 for a week may end up being more, as I have not gotten any local establishments to take my child). My salary would go down to roughly 360 per week which means I would be working 38.5 hours a week for €160.

So, state benefits would currently have to go below 160e per week for the drop to be something to concern me.

I maybe able to get my child looked after for 2 days a week from family members, so its really the three days that I am looking to cover. I am considering asking my employer to take me on 2-3 days (and I believe I may also be entitled to state benefits on top of this!).

To try and clarify my position. Yes, I would like to be a stay at home parent, but my finances may not facilitate that. I am flexible in that I will negotiate terms with my employer. That said, they want me to take 28.5% paycut and to change my job, but were not even going to discuss any changes with me until the day I returned. They are unclear about what they expect from me going forward (As they mentioned working harder, which sounds like they will be expecting me to do the jobs of another employee whom I used to fill in for, who has since been let go).

With that in mind, I dont see why i should bendover and take whatever new conditions my employer throws at me in the interest of the State! Again, do I even have any power of negotiation (with regards to accepting new terms v not accepting them and being made redundant and still getting state benefits!)

For the record, I have been working for over 12 years in differant employments and never claimed social welfare so I imagine my stamps are aok.

Mrs OBumble

Even in the current context, a 28% salary cut is huge, unless they're actually changing your duties as well - are they?

I suspect this bit about duties is important: if they're not changing, then you've got no grounds for being made redundant. If they are, then you need to agree to the new role or they need to make you redundant. (Hmm, not sure how this applies to maternity leave though, if they're not required to hold the exact same position for you to come back to.)

Also, making you redundant is going to cost the company cold hard cash: the state only pays if the employer can't. Is it really realistic to think that they will pay you out rather than just mess around with you until you resign?

herya

smccarrick wrote: »

JB is payable if you have sufficient stamps. JA is means tested (and a partner's income would be taken into account). In both cases there is the expectation that you are actively seeking employment (regardless of whether you find it or not). In the OP's case- she would rather stay at home and mind her child- which were it known, would exclude her from claiming the dole.

FAS can also require you to do courses - they seem to be quite active about it recently.

wmpdd3

This probably really won't suit they but try asking for 3 days week as 20 hrs per week might make you a candidate for F I S.

This might get the ball rolling where they think you don't really want to come back, this might lead them to re structuring the co and someone else covering your job.