A tenth of the workforce now fear redundancy as a result of the current economic downturn, according to figures released by the TUC earlier this month – which means that as many as 3.3 million people now believe their jobs are at risk. Unfortunately, these findings mirror our own experience and we’re seeing an increase in requests for help with implementing redundancy strategies.
Employment law has undergone many and hugely significant changes in recent times, so it’s vital that any new requirements are taken into account. In particular, redundancy practice must take care not to fall foul of the age discrimination rules introduced last year.
Of course, the key do’s and don’ts of redundancy still apply. For instance, have you consulted any workers who will be affected and discussed alternatives with them, such as retraining? And are you sure that the criteria you’ve used to select people for redundancy are objective, non-discriminatory and based on clear evidence?
You must also be sure to follow statutory dismissal procedures before any termination of employment, which includes redundancy. Although a Bill is currently going through Parliament that may abolish these procedures from April 2009, they are still in full force now and it’s worth bearing in mind that failure to comply can lead to an automatic claim for unfair dismissal.