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Redundancy

We are currently in the consultation process to make 19 members of staff redundant. We are closing the division of the business so all 19 staff are in scope.

We are looking to close the consultation and issue dismissal letters.

Please could you give me some idea of how to do this.

Many thanks

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  • Hi Sonia

    Collective consultation isn’t mandatory at all unless 20 or more individuals are affected, so unless further redundancies are envisaged on top of these, individual consultation only is the critical aspect. Generally, it’s not good ever  to declare that all consultation is now at an end: consultation can and must if needs be run concurrently with notice of redundancy dismissal. Collective consultation if mandatory must by law commence *at least* x days before the first dismissals ‘take effect’. If you serve formal notice on an individual though before you have consulted them, you run the risk of a claim that the consultation was a sham and the whole thing a foregone conclusion, so depending on the exact individual circumstances, a reasonable level of consultation before issuing formal dismissal notices is going to be almost essential.

    ACAS general guidance can be invaluable - eg



    www.acas.org.uk/.../Redundancy-handling-accessible-version.pdf

    www.acas.org.uk/CHttpHandler.ashx

    Redundancy can be catastrophic / traumatic for *everyone* involved and must be handled in the best and least-damaging possible manner, so I’d urge you and your employers to tread very carefully and under as much guidance as you can obtain - good though that you’ve made a start, here!

  • In reply to David:

    Thank you David.
    Your advice is always much appreciated.
  • Also have a look at the CIPD's resources: www.cipd.co.uk/.../redundancy
  • In reply to Elizabeth:

    Hi everyone i have a similar problem. We have 5 employees we are looking to make redundant and have been in talks about doing so prior to covid.

    I am arguing furlough as in this climate i think it the fairer option as they may find it difficult to get work!

    All 5 are under 2 years service. Can i furlough them for a month and if there is still no work for them consult them on redundancy based on business downturn simply their isn't enough work for them?

    Would i have to go through the whole process of selecting the pool fairly, consulting all of those who may be affected, redundancy matrix assessment, individual 2nd consultations for those chosen for redundancy and then notice of redundancy?
    Or
    As they are under 2 years service can i not give furlough if the noard says no and consult with the 5 on: the reasons for redundancy, that we have no other work or roles for them and our intent to make them redundant. Then serve notice in writing and pay them notice?

    I would put them on garden leave as i think its kinder than serving notice and they can seek other employment.

    I think the guidelines are unclear when its under 2 years sercice.

    Any help much appreciated
  • In reply to Tammie:

    The key initial issue is whether and how long to furlough them. The kind thing to do is to furlough them. The business may be more interested in cash flow and certainty
    If the are going then you need to consider what contractual provisions you may be breaking
    If no contractual obligations and no obvious discrimination then you can just invite them to a meeting, have the meeting and dismiss giving them the right to apeal
    I think there are three reasons the guidance is unclear on people with less than 2 years service

    It is still right to approach the matter in a considered and open manner
    It is an uncomfortable truth that the law excludes hem
    usually redundancies will include a mixture of people with less and more than 2 years

    I am still puzzled why there are only people with less than 2 years in this pool
  • In reply to Peter Stanway:

    If the decision is based on projected downturn in business can you consult and serve notice whilst the employee(s) are furloughed?