Unfortunately, even the most successful businesses face the need from time to time to reduce staff costs. Sometimes this can be achieved through arranging a period of short-time working (e.g. reducing to a 3-day week) or through laying off staff for a brief period. Occasionally employees will accept a temporary cut in pay to avoid redundancy*. Sometimes, however, the only solution is to make some of your staff redundant.
Of course, employers are quite entitled to make staff redundant when they have a need to do so but, as you may expect, there are procedures that must be followed in order to ensure that you do not fall foul of employment law. Deviation from the proper procedures may result in claims of unfair dismissal, breach of contract, or discrimination.
(* Care should be taken if you intend laying off staff, putting them on short-time working, or cutting pay. Please contact us for further advice)
We have developed the following guidance for employers:
For advice, guidance and support on all aspects of redundancy, lay off or short-time working contact us.