Having a genuine reason to instigate redundancies and following a fair process is essential if you want to avoid any potential claims from employees. Our experts explore the procedure and help you to determine your position...
Following a fair process in line with the rules of natural justice is an integral component of a tribunal’s decision when determining whether a dismissal was fair or unfair.
The first step of the redundancy process is to identify whether the grounds for redundancy are genuine – here are some examples of valid reasons for making redundancies:
- The employer has ceased or intends to cease the business for the purpose for which the employee was employed, or in the place where the employee was employed.
- The requirements of the business for the employee to carry particular work has ceased or diminished.
- The employer decides to carry on the business with fewer or no employees, by requiring another employee to do the work of the redundant employee.
- The employer decides that the work being done is to be carried out in a different manner, for which the employee is not qualified or trained to do.
- The employer decides that the work being done is to be done by a person who is capable of doing other work for which the employee is not sufficiently qualified or trained.
Collective or Non-Collective?
The next step is to identify whether the redundancy is considered a ‘collective redundancy’, as the process will be different to a non-collective redundancy.
For a non-collective redundancy, the advised process involves a two-week consultation process, including meeting with the employees approximately 3-4 times:
- The first meeting will be to inform the employee of the current situation in the business, advise them how this will affect their role and discuss any alternatives or suggestions. You should ensure that you also give the employee an opportunity to put forward some of their own suggestions.
- The second and third meetings will be to update the employee and give feedback on any suggestions they had in the first meeting. This is also the employee’s opportunity to challenge the redundancy so you can resolve any potential issues.
The final meeting is to discuss with the employee whether or not they’re being made redundant, and discuss any financial elements.
If you have any questions regarding the issues in this article, please don’t hesitate to contact our 24 Hour Advice Service on 01 855 50 50
