Redundancy
We are often approached by clients who are unfortunately facing a redundancy situation at their workplace. It can be an anxious and stressful time for anyone under threat of losing their employment. The Employment Rights Act provides protection to employees and stipulates that employers must act fairly and objectively throughout the redundancy process and when making selections.
Our employment law experts can help guide you through this difficult time and help you to move forward.
When can an employer use redundancy to end employment?
If your employer needs to reduce their workforce or stops carrying on business altogether, you may be faced with a redundancy situation.
What information am I entitled to from my employer?
An employer must consult with you about any possible redundancy. They should follow a clear and fair procedure and give you the opportunity to ask questions and appeal any decisions.
The degree of consultation required depends on the number of employees affected by the redundancy process;
If there are less than 20 employees being made redundant then you can be consulted with on an individual basis.
If there are over 20 employees affected then a collective consultation must take place.
How will my employer decide who to make redundant?
If you are selected for redundancy then you are entitled to know the reason why. An employer must apply the selection criteria fairly, objectively and consistently. Examples of selection criteria that can be used are;
Skills and qualifications
Length of service
Attendance
Performance at work
An employer must not be discriminatory when making their decision.
An employer may offer you suitable alternative employment. The alternative should be “substantially equivalent” to the role which is now redundant. It is up to your employer to show that the offer is suitable by taking into consideration the following factors:
Similarities between your current job and the new job
The terms and conditions of the new job
How your skills, abilities and circumstances are relevant to the new job
The pay
If you were to unreasonably reject the offer of a suitable alternative job then you would forfeit your right to a redundancy payment.
Will I be required to work my notice?
An employer who has the intention of making you redundant must give you notice.
If you have been there for 12 years then you must be given 3 months’ notice.
If you have been employed between 2 years and 12 years, you must be given one weeks’ notice per year.
If you’ve been there between one month and 2 years you must be given at least one weeks’ notice.
When will I have the time to find a new job?
All employees have the right to reasonable time off work to look for another job or arrange training.
We advise our clients on whether a fair and proper procedure is being followed. Every employee is protected by the employment right set out by law. If you feel as though you have been made redundant for unfair reasons or if an unfair redundancy procedure is being followed, please contact our employment law specialists for advice.
We are experts at looking at the individual facts of a case and have experience in negotiating termination packages. Please see our settlement agreements page for further information on this point.