Tag Archives: notice
Termination: payment in lieu of notice payable despite subsequently discovered gross misconduct
Employers should review any precedent payment in lieu of notice (PILON) clauses and compromise agreement wording to ensure that any payment will not be payable or can be recovered if, having dismissed an employee, the employer subsequently discovers the employee’s … Continue reading
Filed under Jurisdiction: UK, Termination of employment
Termination: effective from date resignation letter received at employer
Where an employee sends a letter resigning with immediate effect, the effective date of termination (for calculating tribunal claims limits and qualifying service) is the date on which the information is communicated to the employer. This will be the date on … Continue reading
Filed under Jurisdiction: UK, Termination of employment
Withdrawal of notice: not permitted simply because of mistake
An employer cannot unilaterally withdraw a notice of termination simply because it mistakenly expected the employee to agree to proposed new terms as a self-employed contractor. Employers negotiating changes to the terms of an individual’s engagement should ensure agreement is … Continue reading
Filed under Termination of employment
Termination: employers should not describe notice pay as “ex gratia”; notice runs from day after receipt
A recent EAT case highlights the importance of taking care when drafting termination letters and, ideally, of obtaining a statutory compromise agreement to waive claims. An employer had dismissed an employee without notice where there was no pilon clause. It … Continue reading
Filed under Termination of employment
Termination: making of PILON effective to terminate
Where a contract expressly provides that it can be terminated immediately by making a payment in lieu of notice, the making of the payment is sufficient to lawfully terminate the contract (for contractual purposes) even if the employee is unaware … Continue reading
Filed under Termination of employment