TERMINATING AN EMPLOYMENT CONTRACT

REDUNDANCY

Unfortunately, businesses often need to make staff redundant. Redundancies are where a company reduces its workforce due economic reasons or where there is a change in the business and an employee is no longer required. For redundancy to be considered a fair reason for dismissal it is important for employers to comply with the correct steps during the redundancy process. If they don’t the employee can bring a claim against the employer for unfair dismissal.

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What is the redundancy process?

The process includes:

Creating a business case for redundancy. The employer needs to explain why it needs to make the redundancies and explore any alternative options.
Selecting employees for redundancy. This should include deciding which employees are being considered for redundancy and setting out a fair selection criteria.
Holding redundancy consultations. Redundancy consultations are meetings with the employees being considered for redundancy. These meetings should detail the factors being taken into consideration and allow staff to provide feedback.

The consultation period differs depending on the number of employees facing redundancy. Redundancy consultations are required for all employees being considered if there are between 1 – 19 employees at risk.

Employers must ensure the redundancy procedure is fair and must act reasonably when making employees redundant. The selection criteria used when deciding which employee(s) to make redundant needs to be objective, fair, and consistent. The employer can however take into consideration factors such as the skills and work history of the employee(s), disciplinary records, appraisals, and experience when determining which employees to make redundant.

Redundancy disputes.

If the selection process was not fair or is seen to discriminate employees on the grounds of age, disability, race, religion, or sex, then the employee can challenge the redundancy process and bring a claim for unfair dismissal.

How Birch Law can help?

At Birch Law our expert solicitors can help employers when making employees redundant. We will work with you to ensure that you comply with the redundancy process correctly. If a dispute does arise, we can represent your interests and defend any claim in the employment tribunal. For a free no obligation chat please contact us on 0161 669 4621 or email at sbirchall@birchlaw.co.uk.

Whichever funding route you choose, you can rest assure that our experienced solicitors will always do their utmost to keep costs as low as possible. If you would like to discuss any of our services with us, feel free to contact us using the form below or give us a call at 0161 669 4621 for a free no obligation chat.

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