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The employee is dismissed by reason of redundancy, with three months notice, from what I understand. The two year qualification is for a statutory redundancy payment, not for a dismissal to be a redundancy. They will meet the qualification period to make an unfair dismissal claim.
I'm assuming the company does not have a contractual redundancy payment scheme for people with less than 2 yrs service.
There is no obligation on an employer to release an employee early- this is a matter for negotiation. However, as Sue says, there may be little to be gained in refusing. Do you really want an unhappy, disgruntled employee on site? It's not exactly surprising they want to take another job when it is available, especially when there is no right to SRP.
Your options are to:
- negotiate a reduction in the notice period with equivalent reduction in pay
- agree to allow shorter notice & still pay the notice pay as a goodwill gesture- this guarantees no claim for unlawful deduction
- insist that they fulfil their notice requirement & risk having a very unhappy colleague on site or that he simply leaves without your agreement- your legal remedy would be to sue (assuming you actually incur a loss such as additional cost of temp). Whether this is worthwhile is a matter for the business.
Employees need 2 years service to qualify for redundancy! Therefore you are disbanding their role only, not making it redundant. You really cannot stop them leaving to go to ther new job and you could disadvantage them if you prevent it by imposing the working notice of 3 months. If you have already served notice then I would be inclined to let them leave but to cover yourself, pay the remainder of notice period as there should be no come back via a Tribunal. Alternatively, you could be ruthless and negotiate that you won't invoke the notice period if they accept pay up to the date of leaving only?! Bit risky but you can always back pedal.
We have an employee whose role is being made redundant and they have a date of 11th July to leave. The contract is for 3 months notice. They have worked for us for 18 months. They have found another position and wish to leave 27th April! We would like them to work their notice period. If the person now chooses to leave on 27th April is this now a resignation and we have no obligation to pay PILON and what happens if they refuse to resign but go anyway?