Court of Sesssion (Scotland) on 3rd July 2007
where an employment contract provides for a specific minimum period of notice there is no implied term giving the employer a right to dismiss the employee on zero or shorter notice by providing "pay in lieu of notice" (PILON). If an employer wants to make a PILON without being in breach of contract, there must be an express term allowing it to do so or the employee must consent.
For relevant general notes see Pay in lieu of notice