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Employee Redundancy Consulting

The redundancy process can be difficult, complicated & surrounded by legal obstacles for many companies who either aren’t experienced in this area, or don’t have the in-house resources to effectively manage an employee redundancy.

As specialists in employment law, our team at JLJ legal understand the redundancy process & are experienced in guiding companies through the correct procedures that must be followed to avoid any legal complications.

Book your first 30-minute consultation with our team to discuss your next steps.

The Redundancy Process

A redundancy occurs when an employer dismisses an employee because the job role is no longer required. This can be because of a business closure, workplace closure, or reduced need for a particular kind of role. It can also be a general cost-cutting exercise.  In order to formalise a redundancy through the correct steps you must be able to demonstrate that the employee’s job will no longer exist.

When making someone redundant it is a two-stage process – you need to establish that there is a genuine redundancy (the reasons set out above) and that a fair procedure has been followed.  You must make sure you select the correct “pool” for redundancy, which is the group of employees at risk of being made redundant, and then score then objectively and fairly, always being careful not to discriminate. You must also consult with the employee throughout the process and explore ways to avoid redundancy.

Sometimes, voluntary redundancy is an option open to employees for which they may receive additional incentives.

How to make an employee redundant?

Before beginning with any employee redundancy procedures, you should always try to avoid redundancies, making sure that this is the last step.

You need to meet with each affected employee and take them through the consultation process. Make sure you have a paper trail and genuinely consider the points employees raise during this. You have an ongoing duty to provide a list of vacancies within the business or associated businesses for the employee to apply.

Where possible, you should offer an employee alternative work instead of redundancy however this needs to be a “suitable alternative”.  What is suitable is assessed on both an objective and subjective basis and takes into account things like status and salary, but also factors such as the commute to work and whether the new work would affect childcare arrangements, for example. 

If redundancy is unavoidable and you can’t offer alternative work, then you must make sure they have time off to look for new work during their notice period. They will also be entitled to some contractual payments as well as a statutory redundancy payment, provided the employee has 2 years’ service.

If there is not a genuine redundancy situation and/or you do not follow a fair process, the employee will likely have a claim for Unfair Dismissal. 

What is included in our redundancy consulting service?

The team at JLJ legal can support your business with:

  • Advising on best practice.

  • Managing the whole process for you including preparing letters and guiding you through each stage.

  • Assisting you with any appeals from dismissed employees.

  • Representing you in the Employment Tribunal and/or negotiating any settlement on the best terms for the company.

  • With vast experience and knowledge in providing employee redundancy support to employers, start-ups and small to medium-sized businesses, we can ensure that the risk to your company is minimised.

To find out more about the appropriate steps to take when handling a redundancy, book your initial call today.

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