- Redundancy is the dismissal of an employee from their job, due to the employer reducing the work force.
- In most cases redundancies are made, when a job role has disappeared or is no longer required, but other circumstances may sometimes apply.
- If redundancy procedures and policies are not followed correctly it can result in a tribunal following unfair dismissal.
- Common factors that cause redundancies can include; a job role no longer exists, a business is moving or closing down, cost cuts are being made or new technology now makes a job role unnecessary.
If an employment tribunal feels that you used redundancy as a pretext to dispense with someone whose job had not gone, you will lose an unfair dismissal claim. Be prepared to demonstrate to your employees and to a tribunal that there really was a genuine need to make people redundant. This may be through sales figures, accounts etc. Whatever decisions you make relating to redundancy, ensure that you have grounds to back them up with.
If you require more in depth advice or help on handling redundancy please contact Employment Practice and Law.
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