Following the correct procedures through redundancies
redundancy
Redundancies are an extremely difficult process for all parties. It is essential that you have the right support to ensure proper procedures are followed at every stage of redundancy.
Redundancies typically occur when a business is required to eliminate a job role, which can be due to a number of factors including cost-cutting or restructuring. Effective redundancy procedures are vital to ensure fairness, compliance with law and to ensure employee morale is maintained amongst the wider business. Ultimately handling redundancy in a fair and honest way is extremely important in safeguarding the company’s reputation and legal standing.
Handling redundancies can be difficult for all parties and, as with all dismissals, a proper procedure needs to be followed.
This procedure is outlined by ACAS with key parts of the procedure including:
Step 1: Check if redundancies are necessary
Step 2: Follow the right process
Step 3: Tell employees
Step 4: Hold redundancy consultations
Step 5: Select employees for redundancy
Step 6: Work out redundancy pay
Step 7: Give redundancy notice
Step 8: Offer an appeals process
Step 9: Offer alternative employment
Step 10: Support your staff and plan for the future
Full guidance on managing redundancies can be found on the ACAS website.
This guidance becomes even more prominent where an employer intends to make 20 or more people redundant and here a collective consultation will be required.
Big or small, getting the paperwork right is critical in both legal terms and for maintaining the goodwill of employees, both departing and remaining. Proper communication and empathy will help with any issue and may even help to avoid compulsory redundancies and redundancy payments. Our employment law experts will be on your side throughout this process.
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