Am I going to be made redundant?
As a buyer for the Company’s business and assets could not be found, the Company has ceased to trade and all stores have now closed.
All Team Members have been or will be made redundant.
Will I get paid for the work that I do?
Team Members will be paid for all work which they carry out under the terms of their contract of employment with the Company. For hourly paid staff, you will be paid for the hours posted to the ATOSS system through the biometric system only. Any queries you may have in relation to your final pay must be advised by email to firstname.lastname@example.org within 48 hours of your final payment being received. We will be unable to address any queries once the Administrators have vacated the Company’s Head Office and the servers have been decommissioned.
What happens when I am made redundant?
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:
- Claiming for redundancy and monies owed: https://www.gov.uk/claim-redundancy
- The calculation of your redundancy pay: https://www.gov.uk/calculate-your-redundancy-pay
- 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
Any holiday accrued after 28 February 2018 to the cessation of trading was settled in full in your final pay packet.
The move of the Company from a CVA to an Administration means that team members could not claim for arrears of holiday pay from the RPO. Any holiday pay accrued prior to the date of appointment, 28 February 2018, ranked as a preferential claim in the Administration. Claims have been calculated on behalf of team members by the Administrators.
A letter was sent on 25 May 2018 to all team members that have a preferential claim for accrued outstanding holiday pay for the period from 1 October 2017 to 27 February 2018. The letter contained details of team members’ holiday pay claim, in accordance with the details held in the company’s records and invited team members to either confirm or query the amount calculated by 18 June 2018.
Holiday Pay claims will now be settled in full at the contractual rate which was in force during the period in which the holiday was accrued. All payments will be subject to the deduction of Income Tax and National Insurance at the basic rates as the Administrators are unable to use the personal allowances of team members when making this payment.
In the letter dated 25 May 2018 we advised that we expected claims for holiday pay to be paid some 4 weeks after 18 June 2018 and accordingly, we have commenced with these payments on 16 July 2018.
If you elected to be paid directly into your bank and the Administrators hold your bank details, the payment will be processed on 16 July 2018 and can take up to three working days to appear in your account. Otherwise, you will be paid by cheque. The cheques are being printed and sent out from 18 July 2018 so please allow 7 working days from this date for the cheque to arrive.
The Administrators would like to thank you for your patience whilst we have calculated and processed these claims.
- 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.
Where can I go for support?
A fact sheet detailing various redundancy support available and further relevant information was included with your redundancy letter.
Further assistance can be found at www.gov.uk/contact-jobcentre-plus
In Scotland, redundancy support is provided through the Scottish Government’s Partnership Action for Continuing Employment (PACE) initiative.
The PACE Redundancy Helpline, telephone number 0800 917 8000, is operated by Skills Development Scotland or help is available at www.redundancyscotland.co.uk
In Wales, the service is delivered by the ReAct scheme: http://gov.wales/topics/educationandskills/skillsandtraining/reactemployers/react-for-individuals/?lang=en
In Northern Ireland the service is delivered by www.nidirect.gov.uk/contacts/jobs-benefits-offices-jobcentres-and-social-security-offices.
How am I paid by the Redundancy Payments Office?
Any claims to the RPO are paid directly into your bank account. On average claims are paid within 6 weeks of being submitted; in Northern Ireland this can take up to 12 weeks.
You can also contact the RPO by email at email@example.com or on telephone number 0330 331 0020 (opening times are Monday to Friday, 9am to 5pm).
Should you have any queries in relation to processing your claim with the RPO, we have instructed a third party, ERA-Solutions Limited, to assist you and they can be contacted on telephone number 01827 383531.
What happens to my final salary pension?
The defined benefit (final salary) pension scheme has entered an assessment by the Pension Protection Fund (“PPF”). During the assessment period, the Scheme Trustees will remain in day-to-day control of the scheme and your payments. If the PPF ultimately takes on responsibility for a Scheme, they will pay compensation to Scheme members. The following link contains further information:
What happens to my defined contribution pension?
As your defined contribution pension is administered by a third party, you can continue to access your information in the normal way. If deductions have been made from your wages by your employer and not paid over to the pension company, these (together with any unpaid employer’s contributions) can be claimed from the RPO.
When will P45s and final payslips be provided?
We will endeavour to send these out as soon as practically possible following your final wages payment.
Will I continue to receive additional benefits for my notice period, such as Life Cover?
No. Should you wish to transfer these benefits then you should contact the Company or the Administrators.
I receive a car allowance each month. Will I be able to claim this from the RPO?
You will only be able to claim for car allowance if it is provided for in your contract and relates to a specific time. Any claim will rank as unsecured in the Administration.
I sometimes work overtime and also receive bonuses and commission. Can I claim for these?
You will only be able to claim for these if they are contractually payable and relate to a specific time. Any claim will rank as unsecured in the Administration.
I was on maternity leave before I was made redundant. Will I be able to claim for maternity pay?
Team Members are unable to claim for unpaid maternity pay from the RPO. You can however claim Maternity Allowance from HM Revenue and Customs: https://www.gov.uk/your-rights-if-your-employer-is-insolvent/claiming-money-owed-to-you
Am I able to claim for sick pay?
Team Members are unable to claim for unpaid sick pay from the RPO. You can however claim sick pay from HM Revenue & Customs: https://www.gov.uk/your-rights-if-your-employer-is-insolvent/claiming-money-owed-to-you
Will any tax be deducted from payments due to me?
Yes. The RPO will deduct basic rate Income Tax from any wages and holiday pay awarded to you. This will be deducted at the rate in force at the time payment is made. Your share of National Insurance Contributions will also be deducted from the payment.
Who will provide my reference?
The Administrators will endeavour to provide references to new employers when requested. Please note that only basic references can be provided.
If you require a reference please contact UKHRadministration@toysrus.com
After 27 April 2018 this email will no longer be monitored and all reference requests will need to be sent to Gilly@era-solutions.co.uk.