The required redundancy consultation for less than 20 staff is less prescriptive than the one you must follow when more than 20 employees are affected, but it must still be fair.
Employers are subject to strict legal duties when making redundancies, no matter how many employees are affected. If you fail to follow the correct procedure, an employee selected for redundancy may have a claim for unfair dismissal against you, and you may face Tribunal proceedings.
At GAP HR, our team of specialist HR and employment law advisors have decades of experience assisting businesses with all types of employment law issues, including redundancy consultations. With a proven track record of helping our clients avoid Tribunal claims, we offer straightforward advice in plain English. We will assist you in making any necessary redundancies fairly and in line with your legal duties, so you can concentrate on achieving your business goals.
Call us now on 01491 598 600 or email us on cw@gaphr.co.uk and we will be delighted to help you.
What Is A Redundancy Consultation?
A redundancy consultation is a crucial step in any redundancy process. It is the stage in the procedure during which you, as the employer, discuss your proposals with the affected employees and seek their input. A redundancy consultation is more than merely a helpful fact-finding exercise, though; it is a legal obligation. Failing to follow the correct redundancy procedure places you at significant risk of unfair dismissal claims.
What Should You Discuss During A Redundancy Consultation?
You must communicate clearly with the affected employees during the consultation period. You should try to put them at ease and encourage constructive dialogue. Examples of the issues you should address include the following:
• Why You Are Considering Making Redundancies.
Your business circumstances must give rise to a valid ground for redundancy. Examples of valid redundancy grounds include that your business is closing down, relocating, or technological advances have rendered the employee’s role obsolete. If you’re not sure whether your situation justifies your making redundancies, it’s a good idea to speak to us before embarking on the redundancy process to avoid problems down the line.
You should explain your reasons to the employee and ensure they understand why their role is at risk of redundancy.
• How You Propose Selecting Employees For Redundancy.
You should have clear selection criteria in place and explain them to the employee. Valid selection criteria include an employee’s skills, qualifications, and attendance.
• Whether There Are Any Possible Alternatives For Redundancy.
An employee may have suggestions for avoiding redundancies or reducing the number. Such measures might include a recruitment freeze, job shares, and reduced working hours. You don’t have to action any of their suggestions, but you must give them due consideration.
• What Measures You Could Implement To Assist Employees Selected For Redundancy.
You should let the employee know of any measures you intend to implement to assist those selected for redundancy. These measures might include helping them revamp their CVs and giving them time off for interviews.
What Is The Required Redundancy Consultation For Less Than 20 Staff?
When your redundancy proposals affect less than 20 employees, you should meet with each affected employee privately at least once.
There is no legal minimum period for which a redundancy consultation for less than 20 staff must last. The law simply requires that the consultation be ‘meaningful’. The time needed to make a consultation ‘meaningful’ will depend on the circumstances. Essentially, your consultation should be long enough to enable you to discuss the matter fully with the affected employees, take on board their suggestions, and reach a fair decision.
In the absence of clear legal guidance, advice and support from our HR consultants will ensure your redundancy consultation process is fair and lawful.
How Does The Required Redundancy Consultation For Less Than 20 Staff Differ From That For 20 Staff Or More?
When your redundancy proposals affect 20 or more staff members, you must hold collective consultation.
Collective consultation involves consulting with the individual employees and their trade union representatives. If the employees do not belong to a trade union, they can vote in co-workers to act on their behalf. These individuals will relay your redundancy proposals to those affected, collate their responses, and meet with you to solve any problems and seek to reach an agreement.
Unlike redundancy consultations for less than 20 staff, those affecting more than 20 employees are subject to specific minimum periods. The applicable minimum period depends on the number of employees affected and is as follows:
- If your proposals affect 100 or more employees, you must begin your consultation at least 45 days before the first dismissal.
- If your proposals affect between 20 and 99 employees, you must begin your consultation at least 30 days before the first dismissal.
These periods are minimums. The law does not specify a maximum redundancy consultation period. You should take as long as you need to reach a fair decision.
Call us now on 01491 598 600 or email us on cw@gaphr.co.uk and we will be delighted to help you.
