Redundancy: was my friend tricked?

cantdecide

A close friend of mine works in the motor trade. He has been working in a management job for 2.5 years.

Prior to this, he was a successful salesman for the same boss at another premises for 5 more years. Both of these garages are successful main dealers. When there were much fewer cars being sold, his boss told him he had a job for him as a junior manager in his new venture. It was quite a distance from home and it was for significantly less pay than he was used to. He was told that if he weren’t interested in that, he would have to be let go.

He did what he believed to be the sensible thing at the time. I understand that rather than being made redundant, and receiving redundancy for five years service, he was asked to resign from one position to take up the other as they were entirely separate entities.

He has now been let go from that job. Now, he’s entitled to a couple of grand in redundancy for nearly eight years under the same boss.

Just another question. Would his redundancy be based on the basic pay detailed on his contract or will it have been considered along with the generous commissions he would have earned when things were better?

mp22

From 1 January 2005 the maximum earnings taken into account in the calculation of statutory redundancy lump sum payments are €600 per week (€31,200 per year). Previously, the ceiling was €507.90 per week (€26,411 per year)

From here http://www.citizensinformation.ie/en/employment/unemployment_and_redundancy/redundancy/redundancy_payments.html

tenchi-fan

I think the line of business together with the ownership of the business will give him a very good case for redundancy. He should contact NERA asap

OldmanMondeo

No contact a Solicitor. It will be sorted out much quicker this way.

TOOYOUNGTODIE

if the differnt companies are owned by the same person, or even better if the companies are related he will have a case under the redundancy acts for inadequate payment of redundancy.

be careful he has to lodge a claim within a specific timeframe.