Confirmation of Payment in Lieu of Notice Letter

Confirmation of Payment in Lieu of Notice Letter

This letter can be issued where a payment in lieu of notice (PILON) is to be paid upon the termination of employment.

The (PILON) payment should be where you are exercising a contractual right to terminate employment with immediate effect and pay the Employee in lieu of notice under the terms of the pay in lieu clause the contract of employment. where this does not exist the payment would need to be agreed, representative of full compensation for the wages and benefits that the Employee would have received had they had been required to work the notice period.