Redundancy within Charitable Organisations

[wadsworth]

Hi all,

I am desperately trying to clarify some details:

We are a registered charity, currently suffering massively due to lack of funding, recession etc.

We have therefore decided to make our 2 part time staff redundant, calculations complete, one member of staff has now left and the other's notice expires in a few weeks time.

We cannot afford to pay their redudancy at this time, however will be making a saving of over £10,000 a year on wages- we therefore know that long term this will work.

My question is; How soon do we HAVE to pay the redundancy pay, we have been advised by a local business woman that we have 'reasonable time', and to look to resolve the issues within 90 days, if we are still unable to raise funds, we should look to make an offer of regular repayment.

Is this correct? Could we agree a figure to pay say monthly?

We all joined the committee expecting there to be no financial liability, as we now know, this is not the case at all. We operate a community centre in an area which is certainly not wealthy, all members of the committee have homes to keep, families to feed and bills to pay, and we really cant deal with this!

I have tried to seek advice from several organisations but no one gets back to us, presumably no one has an answer.

thanks very much

[Indizine]

Moved to Employment Law forum

Why not contact ACAS in the first instance for free guidance on this matter. The employment laws apply to you regardless of being a chairty so their advice will apply for your staff.