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Redundancy & Restructures
No one wants to make redundancies or be made redundant. From time to time, businesses have to re-organise themselves and cut overhead costs. Restructures and redundancies can herald positive change for both employers and employees.
In order that the morale of employees and reputation of the business is preserved and financial penalties are minimised, it is vital the re-organisation is properly managed.
Unfortunately, the law makes the process complex and the consultation process can seem artificial when often decisions have to be made before consultation is complete.
Our team will assess whether the employer’s reasons for business re-organisation fall within the statutory requirements. If they don’t, we can help you to identify alternative means of meeting your business objectives, for example by way of restructuring, outsourcing, performance management or business transfer.
Once a redundancy programme is underway, it is vital to minimise the risk of unfair dismissal or other claims by complying with statutory procedures, observing the strict consultation and selection requirements and making the correct payments. We will assist you in devising a selection mechanism that supports your business and provides an objective means of identifying those “at risk”.
We can also advise you on determining whether proposed dismissals fall into the category of “redundancy” or not, and how to determine whether to use the collective redundancy procedure. It’s worth remembering that smaller redundancy programmes, involving fewer than 20 redundancies, are subject to less stringent demands: we can steer you through the dismissal procedure within a two-week timetable.
If you are an employee facing redundancy, we can assist you through the consultation process to maximise your negotiating leverage and advise you in relation to any settlement agreement to include minimising the impact of post – termination restrictive covenants that might otherwise hamper your opportunities once back on the job market.