What happens when I am made redundant?

Posted by Toys R Us Staff on

Depending on the specific circumstances, you may have claims against the Redundancy Payments Office (“RPO”) which will be paid to you direct, subject to statutory limits, together with an unsecured balancing claim in the Administration for certain unpaid benefits, including:

  • Statutory redundancy pay:

You must have two years’ continuous employment with the Company to qualify for statutory redundancy pay. The number of weeks used to calculate your redundancy payment depends on your age and length of service. Statutory claims are paid to you by the RPO.

Statutory redundancy is capped at £489 per week (in Northern Ireland it is £500) for redundancies which took place prior to 6 April 2018 and £508 per week (in Northern Ireland it is £530) for any redundancies arising after 6 April 2018.

The following websites provide details on:

  1. Claiming for redundancy and monies owed: https://www.gov.uk/claim-redundancy

   

  1. The calculation of your redundancy pay: https://www.gov.uk/calculate-your-redundancy-pay

 

  1. The calculation of your redundancy pay in Northern Ireland: https://www.nidirect.gov.uk/articles/redundancy-pay

 

 

  • Payment in lieu of notice:

If you have not worked your statutory notice or did not get any statutory notice from the Company, you can make a claim at the statutory limit against the RPO for payment in lieu of notice (statutory notice pay). Statutory notice is calculated as a week for every completed year of service up to a maximum of 12 weeks. The payment in lieu of notice is calculated using your contractual hours; where you do not have typical hours, it is calculated as an average over the previous 12 working weeks in which you received pay. You are under a legal duty to reduce your claim for payment in lieu of notice as much as possible.  You should claim any jobseeker’s allowance or other benefits to which you are entitled and try and obtain other employment as quickly as possible.

Any sums due to you above the statutory limits (as detailed above) will be an unsecured claim in the Administration. Whilst any unsecured claim will be calculated and submitted to the Administrators on your behalf, please be aware that on the basis of information available, you are unlikely to receive any payment in relation to your unsecured claim.

  • Holiday pay

The move of the Company from a CVA to an Administration means that Team Members cannot claim for arrears of holiday pay from the RPO. Any holiday pay accrued prior to the date of appointment, 28 February 2018, will rank as a claim in the Administration. Claims will be calculated on behalf of Team Members by the Administrators and are expected to be paid in due course.

Any holiday accrued after 28 February 2018 will be settled in full in your final pay packet.

  • Unpaid Expenses

Pre-Administration expense submissions received by Sunday 4 March 2018 were reviewed and paid in line with the Company’s expenses approval and payment policy. 

Pre-Administration expenses submissions not received by Sunday 4 March 2018 will rank as an unsecured claim in the Administration. These sums cannot be claimed from the RPO. If you decide to make a claim you will need to submit a Creditor Statement of Claim form to the Administrators, but please be aware that on the basis of information available, you are unlikely to receive any payment in relation to your unsecured claim.


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