6 Basic Pieces of Legal Advice Following Redundancy

Being made redundant can be a traumatising process in today's economic climate but is, unfortunately, part and parcel of an economic downturn. Due to this, it is integral that you understand the legal proceedings by seeking legal advice following redundancy in case you're found in this situation. 

What is Redundancy?

Redundancy is a completely legal process for cutting back on staff that are not vital to sustaining the business. There are three main reasons for redundancy: a move of business, a surplus of labour or a discontinuation of employment.

A move of business is when an employer changes the location of the business and takes into account the trouble it would take the employee to carry on their previous job. If it is found that the inconvenience of a new location would be too detrimental to the employee's work, they can be made redundant.

Employees can also be made redundant if their skills or position are considered surplus to the needs of the company. This can come as a result of a re-structuring in the business, a change of business direction, seasonal changes or labour cutbacks.

Lastly, the discontinuation of a position can be cause for redundancy. This is usually due to the business ceasing to exist, or a closure of certain branches or services within the company.

What is Correct Procedure?

It is integral to gain legal advice following redundancy to ensure the correct procedure was followed, otherwise you have been unlawfully and unfairly dismissed.

1. Advanced Warning

As soon as it has been decided that redundancies will take place, employers need to make their staff aware that there is a situation where impending redundancies will take place. This gives potentially affected employees the chance to understand the procedure and look for potential new sources of income.

2. A Selection Pool

In the event that a particular person's position will be made redundant, this is not necessary. However, if cutbacks are being made to a certain area, a selection pool must be created and systematically worked through to determine which employees are the most redundant.

3. Non-Discrimination

Redundancies need to be non-discriminatory. This means that people cannot be made redundant due to race, sex, sexual orientation or any other personal factors. Potential redundancies candidates must only be considered due to their position and their aptitude and capability to fulfil that position. Employers often take into account: length of service, flexibility, sick record, performance, skills, and disciplinary record.

4. Consultation

It is important for an employer to consult with their employees to select appropriately. Failure to consult with each potential candidate can result in unfair dismissal.

5. Future Employment

Redundancy is often the fault of employers needing to make changes to the business. Due to this, they have made a concerted effort to help their redundant staff find future employment. This is often with an associated business or partner.

6. Right to Appeal

Employees should be notified of redundancy after the proceedings are complete and are allowed to work out their notice. They should also be made aware of their right to appeal. An appeal must take place if the employee requests otherwise unfair dismissal can be claimed.

Make sure that you seek legal advice following redundancy as the right support from partnership law solicitors could make the difference between a fair dismissal and an employer breaking the rules. If your employer has not followed the procedure, you could be entitled to compensation and/or your job back.

Blandy and Blandy are partnership law solicitors in Reading, offering expert legal advice and support across the Blackwater Valley area. 

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