Essential points
- A redundancy is a dismissal that occurs when a role is no longer needed – in other words, it becomes redundant.
- Employers should consult with employees when considering making redundancies if they wish to avoid any dismissals being unfair.
- Where 20 or more redundancies are planned at one establishment within a 90-day period, employers must follow the collective consultation rules in order to avoid unfair dismissals and protective awards.
- Employees under notice of redundancy have the right to time off to look for a new job.
- All employees selected for redundancy will be entitled to notice pay and those with at least two years’ service will be entitled to a statutory redundancy payment based on their length of service.
- The Protection from Redundancy (Pregnancy and Family Leave) Act 2023 will extend the protections for those on Maternity, Adoption or Shared Paternity Leave.
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Disclaimer
Please note: While every care has been taken in compiling this content, CIPD cannot be held responsible for any errors or omissions. These notes are not intended to be a substitute for specific legal advice.
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