subject: Avoid the grey areas of redundancy [print this page] Avoid the grey areas of redundancy Avoid the grey areas of redundancy
Employment law impacts everyone within a company and is one of the most complicated subjects in law, changing frequently. When it comes to tackling the issue of redundancy there can be many grey areas to negotiate. Employment law specialists can help you to navigate the hurdles.
Employment law sets out that a person can only be dismissed using redundancy as the reason if the employer is taking the redundancy route because there is no alternative but to reduce the employee head count.
There are a variety of acceptable reasons for reducing the workforce in a company. The role may have been terminated; the company may have to reduce costs; the company may be closing down or moving to another area; new systems and technologies may have made the person's job role obsolete.
Grey areas that can result in tribunal cases are scenarios such as one employee being made redundant and a colleague then takes over the vacant role. If a company chooses to relocate it can then in turn oblige employees to move also. For those that don't want to relocate there a catch 22 situation ensues where they can either resign or wait to be made redundant. If employment contracts contain a clause stipulating that employees will have to move within reason the employer is covered to a certain degree however there is much ambiguity in how these specific situations should be handled.
If the employer needs to make 20 or more workers redundant over a 90 day period this is called collective redundancy. This then involves talking to trade unions or an elected representative from the affected employees. Failure to consult with a representative can lead to an employment tribunal. The need to seek professional employment law advice is crucial in most redundancy cases to avoid any unnecessary tribunal action.
At NorthgateArinso we offer employment law services as well as health and safety training.
