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A decision made 21 January 2011 regarding: R.44/2009 Temporary Insolvency Scheme - Revised report to the States.

Decision Reference: MD-S-2011-0004
Decision Summary Title :	DS - Amend Temp Insolvency Scheme		Date of Decision Summary:	21 January 2011
Decision Summary Author:	Policy Principal		Decision Summary: Public or Exempt?	Public
Type of Report: Oral or Written?	Written		Person Giving Oral Report:	N/A
Written Report Title :	WR - Amend Temp Insolvency Scheme		Date of Written Report:	21 January 2011
Written Report Author:	Policy Principal		Written Report : Public or Exempt?	Public
Subject: Temporary Insolvency Scheme – Revised report to the States
Decision(s): The Minister approved for presentation to the States a revision to report R.44/2009 (Insolvency: Temporary Scheme for Compensatory Payment in lieu of Statutory Period of Notice on Termination of Employment) to reflect that the statutory notice periods required to be given on termination of employment were reduced on 1st January 2011 by an amendment to the Employment (Jersey) Law 2003.
Reason(s) for Decision: The Social Security Minister presented a Report to the States in April 2009 setting up a temporary scheme that makes compensatory payments to employees in cases of employer insolvency where the required statutory period of notice (or pay in lieu) was not given to an employee on termination of employment. The Report states that an employee is entitled to claim in accordance with their right to receive a minimum period of notice on termination of employment under Part 6 of the Employment (Jersey) Law 2003. Annex 1 to the Report specifies the periods of notice, as required by the law at that time (until 31 December 2010), up to a maximum of 16 weeks pay. From 1 January 2011, the Employment (Amendment No. 5) (Jersey) Law 2010 amended the statutory notice periods to provide that an employee is entitled to one week’s pay per full year of service, up to a maximum of 12 weeks’ pay. The amended Report therefore inserts the new statutory notice periods for consistency, to clarify that the revised statutory notice periods will apply for the purpose of the temporary insolvency scheme from 1 January 2011.
Resource Implications: No resources implications are anticipated as a result of this revision. The amended statutory notice periods will result in some employees receiving a greater number of weeks notice, and some receiving a reduced number of weeks notice, than they would have been entitled to prior to January 2011.
Action required: States Greffe to arrange for the revised Report to be presented to the States at the earliest opportunity.
Signature:		Position: Minister
Date Signed:		Date of Decision (If different from Date Signed): 21 January 2011