I was thinking employees “may” have a case, based on customary practices, but am aware there is no legal requirement to pay any Ex Gratia payments. I advised them to get legal advice.
How do you know that the "involuntary terminations" are actually "redundancies"?Got news from a friend, working at an MNC, who have ongoing and regular involuntary terminations, which up to a few months ago, included ex gratia payments of 4+ weeks pay per year of service, they have been doing this for a number of years, so there was a certain expectation, this would continue.
However, all current involuntary terminations, are only getting Statutory Redundancy, and - nothing else.
Where you lose your job because your employer is closing the business or reducing the number of staff, this is known as redundancy. It happens when your job in the company no longer exists, you are let go and are not replaced.
I worked for several non-unionised American multinationals in my time and never heard of a works council in any of them.I would have thought such a change should have been raised with the Works Council for visability
I've worked for non-unionised American MNC's for the last 20 years and every one has had them. TBH, they are no more then a talking shop in Ireland, a means of passing information and "going through the motions" but seem to be taken far more seriously on the continentI worked for several non-unionised American multinationals in my time and never heard of a works council in any of them.
For a lot of the MNC's, they will have staff on older T&C's and new T&C's and it is the norm for those on newer T&C's to have fewer benefits, including around redundancy.
In my experience, most MNC's have policy's in place and that policy outlines what redundancy package could apply and then the contract refers back to itIt’s unlikely that the precise terms of any redundancy package would be specified in an employment contract.
It would depend on the circumstances at the time redundancy was being considered rather than the time the contract was signed.
The tax treatment of any such severance package may depend on whether it’s described as a termination/severance etc or a redundancy.A lot of these MNCs have generous severance packages as it's cheaper than being sued for unfair dismissal.
Do you mean a WRC case or something else?I was thinking employees “may” have a case, based on customary practices, but am aware there is no legal requirement to pay any Ex Gratia payments. I advised them to get legal advice.
Any thoughts on this ?
Well it wouldn’t be the strongest of positions but you’ve nothing to lose I guess.I was wondering if these Employees have a case, either via WRC, or by taking a case against the Employer. Maybe they do not, but it has been custom & practice, and now the additional ex gratia have stopped, after being paid out for several years previously
Does the latter mean via the regular courts? Obviously that could be very costly.I was wondering if these Employees have a case, either via WRC, or by taking a case against the Employer.
Can you explain what this means?Bear in mind that when you get an enhanced redundancy package, part of the quid pro quo is that the agreement normally requires you to waive your employment rights in the future.
Enhanced severance/termination packages aren’t produced solely for the benefit of employees. They seek to draw a definitive line under the employment relationship, to include the removal of any residual legal rights an employee may otherwise retain e.g. a complaint to the WRC. The risk of an employee making any such claim is effectively bought off.Can you explain what this means?
Thanks. I thought that you meant extinguishing employment rights going forward.Enhanced severance/termination packages aren’t produced solely for the benefit of employees. They seek to draw a definitive line under the employment relationship, to include the removal of any residual legal rights an employee may otherwise retain e.g. a complaint to the WRC. The risk of an employee making any such claim is effectively bought off.
Where a redundancy offer doesn’t exceed the statutory entitlement, there is no incentive for an employee to waive their legal rights and it would be foolish of them to do so.
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