Redundancy?

With redundancy numbers on the increase as employers attempt to re-adjust to the current economic downturn, the increase in Employment Tribunal hearings against employers has also increased.

 

With some employers taking the view that making redundancies is the simpler option, what they often fail to appreciate is the danger that lies ahead should they have mismanaged their redundancy procedures. Therefore, as an employer, any redundancy exercise you do undertake should be meticulously planned, taking into consideration the legal and financial implications should your processes fail to meet with the relevant legislation. 
What is Redundancy?
 
The key element of any redundancy situation is that, when the situation arises, it is generally due to the needs of the business identifying that an employer no longer requires a specific role to be undertaken or that the business is in the process of closure. Redundancies ARE NOT an excuse for addressing poor performance or absence amongst employees.
 
As an employer faced with a Redundancy situation have you considered? 
  • An offer for employees to 'volunteer' for redundancy.
  • The possibility of alternative employment within the business 
  • Any other options i.e. job sharing, shorter working hours, periods of unpaid leave
  • How your timetable for the redundancy process will unfold
  • How many employees are likely to be affected
  • Your selection criteria for redundancy
  • The importance of consulting with employees likely to be affected and those who will remain
  • The facility for employees to attend any meetings accompanied by a work colleague
  • If those affected will be offered time off to seek and attend job interviews with an alternative employer
  • An appeals process for those employees selected for redundancy 
  • The need to document each and every step of your redundancy process    

Defending a Tribunal claim on the basis of not following the correct Redundancy processes and procedures can be a time consuming and costly affair for employers. In addition, as Tribunal hearings are held in public, the adverse affect such a hearing can have on your business can be even more costly. 

 

By taking specialist advice at the earliest possible stage of your redundancy process, you are minimising the potential for any claims of unfair dismissal.

If you would like to learn more on how ALLIED
EMPLOYMENT SOLUTIONS can assist you in managing your Redundancy situation, why not complete our online enquiry form or give us a call on FREEPHONE 0800 567 7813 and one of our friendly advisors will contact you.