Redundancy is an area that cause a lot of soul-searching amongst employers. Very few Employers take the decision to make employees redundant lightly. It affects people lives and future and obviously also affects the perception of the Business in the eyes of those not made redundant and the wider World.
Employers must decide on the areas where the redundancies may take place, the number of employees that are to be made redundant. Invite volunteers (i.e. those willing to take voluntary redundancies) and consider alternatives.
“Objective Criteria” must be used to select employees who are potentially at risk of redundancy: length of service, conduct and disciplinary record.
Redundancy procedure for up to 19 employees
Employees should at the very least receive a letter about the proposed redundancy and be given the option of attending a consultation meeting.
Redundancy procedure for over 20 employees
If 20 or more employees are to be dismissed within 90 days or less employers must consult with trade union representatives (if recognised) or employee representatives if no trade union is recognised.
If you are an employer you must explain to employees that there is a redundancy situation and that the employee’s job is at risk. The possibility of alternative work must be discussed. If you are an employee you can raise suggestions about alternative work before an employer can fairly dismiss you. If you are an employer you are obligated to consider employee suggestions. Employees should also be allowed time off to seek other employment.
Employers must not send out dismissal notices until the consultation process has taken place. If you are an employee you have a right to appeal against selection for redundancy.
Redundancy and Dismissal are obviously complex area of law and procedure. We cannot address the full issues on this page. However, rhw can help with legal advice on the whole redundancy process from an Employer and an Employee angle if you contact us.