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Five Key Elements of a Fair Redundancy

An employee with two years’ service can bring a claim for unfair dismissal. Where an employee with a protected characteristic argues that their redundancy was discriminatory, they can bring a claim regardless of their length of employment.

Even if the need to make redundancies is obvious, employers still need to follow a fair procedure carefully.  This will nearly always involve the following 5 key elements:

1. Warnings

Give employees as much warning as possible. This allows the employee to inform themselves, consider alternatives to redundancy and start their job search.

2. Consult

Collective consultation obligations may be triggered, as well as individual consultation. If you are using selection pools, include these in the consultation. Keep an open mind and genuinely consider the representations.

3. Criteria for selection

Keep the criteria for selection the employees for redundancy as objective as possible and try to avoid management opinions about individual employees. Look out for discrimination issues, for example if you are using attendance as a criterion, you may need to make allowances for disability-related absences.

4. Fair Selection

Fair selection – involve more than one manager in the scoring process, particularly if the criteria involve assessment of ability and allow employees to appeal the findings. Take on board the employees’ representations about their selection.

5. Seek alternatives to dismissal

If the CJRS or a similar scheme is available, the redundancy dismissal may only be fair if you can show that it was reasonable to dismiss despite the availability of the scheme.

We can advise you on ensuring redundancies are fair, as well as using settlement agreements to bring about changes or to swiftly bring employment to an end.

If you need help and advice on this topic, please do not hesitate to contact us on 0113 350 4030 or at hello@scesolicitors.co.uk.

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SCE Solicitors is a boutique employment law and litigation practice based in Leeds which advises clients nationwide. Please note that the information in this blog is to provide information of general interest in a summary manner and should not be construed as individual legal advice. Readers should consult with SCE Solicitors or other professional counsel before acting on the information contained here.

Samira Cakali

Samira Cakali is a pragmatic and approachable solicitor advocate with extensive contentious and non-contentious experience in the fields of employment law as well as civil litigation, within a range of commercial businesses from SME’s to multinationals as well as senior executives.

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