When you are employed in a role, it is possible that you might be dismissed through a process of redundancy. This usually occurs when your role is no longer needed because the business is closing, changing its focus, or relocating. This can be an incredibly upsetting time, and it is important to understand what your rights are in this situation. You also need to understand the reasons for the redundancy in order to ensure that all procedures are followed properly, and what the results of the redundancy might be.
If this is the case, you need an expert in employment law, like the ones found at Lovedays Solicitors. We can help you to understand your rights and to determine whether your selection for redundancy is fair or not. Our team will be able to advise you on what to expect, what happens next and what options are open to you.
Understanding Redundancy
Redundancy is a type of dismissal from your employment. These redundancies should only occur if the organisation is closing or has already closed or if the types or number of roles needed for a particular job have to change. Redundancy may also be necessary if the business is changing location. Redundancies are never nice, but they are a sad fact of life if an employer needs to reduce their workforce or cut costs. However, there are still strict procedures that each employer needs to follow in order for any redundancies to be fair and correct.
Redundancy usually occurs because of necessary changes within a business, and the term itself comes from the fact that the job is made redundant. That means redundancy is a form of termination of employment that is not caused by any fault of the employee. This is different to any other form of dismissal, where an employee is terminated from their job due to their performance or conduct. It is therefore important that redundancies are not used to get rid of staff for any other reason.
If an employee is made redundant, they may be entitled to certain things such as redundancy pay or a notice period. You may also be offered the option to move to a different job or given time off to find new employment. It is important that you are selected for redundancy in a fair way, and not on the basis of things like age, gender or disability.
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Redundancy Process
In order to make somebody redundant, it is important to show that no-one is needed for that particular role. This means that an employer needs to be able to demonstrate that the business is changing what it does, doing things in a different way, changing location or closing down. It may also be part of a cost-cutting measure, but it is important to remember that when someone is made redundant, the role no longer exists and so it cannot be filled by someone else.
Employers should consult with employees as soon as possible to explain which roles are at risk and why, as well as how many redundancies are being considered and what the next steps will be. For those in direct risk of redundancy, the employer should confirm in writing whether other options are available, such as voluntary redundancy, and the outline of their consultation plans.
To decide who is made redundant, there needs to be a fair selection process put in place. Selections should be based on measurable facts and not personal opinions and can include work performance, qualifications, skills, experience, attendance record and disciplinary records. It is illegal to select anyone because of age, disability, gender reassignment, marriage or civil partnership, pregnancy and maternity, race, religion, sex or sexual orientation.
An employer must provide notice for anyone being made redundant and keep paying employees until the end of their notice period. If you have worked for your employer for two years or more, then you have the right to statutory redundancy pay based on your length of service.
Employee Rights During Redundancy
When being made redundant, you are entitled to a notice period if you have worked for the employer for at least a month. For those who have worked there between one month and two years, the minimum notice period that you are entitled to is one week, whilst those who have been employed for more than two years are entitled one week for each full year up to a maximum of 12 weeks. Your contract may outline what notice you are entitled to, but this cannot be shorter than the statutory notice.
Statutory redundancy pay can be paid if you have been employed for two years continuously or if your fixed-term contract is not renewed after two years or more. You will be entitled to half a week’s pay for each year that you were aged under 22, a week’s pay for each year you were aged 22 to 40 and 1.5 weeks’ pay for each year you were aged 41 or over. This will be based on a maximum of 20 years’ work. You may be entitled to extra money on top of this if it is outlined in your contract.
If you feel that your employer has done something wrong during the redundancy process, then you may be able to challenge the decision. You should start by talking to your employer and following any formal appeals process that they have in place. If this does not work, then you may want to try mediation or take them to an employment tribunal for unfair dismissal.
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Voluntary Redundancy
During the consultation process, your employer might ask if anyone wants to take voluntary redundancy, but this decision should not be taken lightly. Your employer should be able to tell you what the redundancy package will be, which will enable you to weigh up its pros and cons. The package should tell you what the notice period will be and how much redundancy pay you can expect. In some cases, an employer might offer added incentives for voluntary redundancy, such as extra redundancy pay, or not having to work during your notice period.
It is important to look at what voluntary redundancy can mean for your own personal situation. It may affect your ability to pay your mortgage and is often not covered by mortgage protection policies. It may also affect your ability to apply for certain benefits.
Voluntary redundancy can be seen as positive things for many people as it allows employees to take more control of their situation, and they can often come out of their employment better off than if they had waited to be made redundant. However, you may not have been on the list to be made redundant and you have no way of knowing how long you will be out of work for, meaning that it can sometimes be a gamble.
To apply for voluntary redundancy, you should speak to your employer about the process. You will usually need to put your request in writing, or they may have a form for you to complete. It is important to remember that an employer does not have to grant your application for voluntary redundancy, particularly if they feel that they need your skills or experience.
Alternative Employment and Suitable Roles
In some cases, an employer might offer you a different job instead of making you redundant. This is known as' suitable alternative employment'. Your employer is required to offer you the new job, either in writing or orally, before your current job ends. They must make sure that the new job starts within four weeks of your current job ending and give you plenty of detail about the job so that you know exactly what it is you are signing up for. If your employer does not follow the rules of offering alternative jobs, then you can refuse it and get your redundancy pay instead.
You are entitled to have a trial period for your alternative job. This means that you can spend 4 weeks trying out any alternative job that you have been offered and this can start up to four weeks after your current job ends. Whilst your trial period will only last for four weeks, even if you are ill or on holiday during that time, your employer can agree to extend the trial period if you need additional training in order to do the job. This should be outlined in a written employer’s agreement which has a clear end date.
If you do not want to take the alternative job, then you will need to inform your employer in writing. You will need to check that they will still give you your redundancy pay instead.
To qualify for redundancy pay, you will need to have worked for your employer for at least two years by the time your current job ends, and you will need to refuse the alternative job before your current job ends, all before the end of your trial.
You will also need to give a good reason for refusing the new job. This could be about the job itself or your own personal situation. When refusing the job, you can state reasons such as low pay, transportation times, costs of travel, or disruption to family life as some examples.
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Legal Support and Challenging Redundancy
It is important that all employers follow a fair process when considering redundancies. If you believe that this is not the case, then you may have the right to challenge your redundancy. If your employer has an appeals process, then you need to make sure that you follow this.
Alternatively, you can still write to your employer and outline the reasons that you think the redundancy is unfair. When meeting with your employer, it might be a good idea to have an employee representative, such as a trade union or a legal professional with you.
Your employer should arrange an appeal meeting where you can discuss your reasons for thinking the redundancy process was unfair. It is important to make sure that you take thorough notes during this meeting. Your employer can then consider your appeal and send you their decision in writing. If they accept your appeal, then your employment contract will be the same as before you were selected for redundancy. If they reject your appeal, then your redundancy notice and pay will continue as planned.
If you still feel that this is unfair, you may be able to make a claim to an employment tribunal for unfair dismissal. This might be because you feel that you were unfairly selected or because your employer did not follow a fair process.
Other reasons for taking an employer to a tribunal can be because they did not hold genuine and meaningful consultations before making redundancies, all because they failed to consider any alternatives to redundancy. It can also be because an employer failed to offer you a suitable alternative role that might have been available.
At Loveday Solicitors, we can provide you with all the legal advice and representation you need when challenging your redundancy. We can help you in dealing with your employer and making a claim to an employment tribunal.
Coping with Redundancy
Being made redundant is incredibly difficult for anyone. It can have a huge emotional and financial impact for you and your family. When you are made redundant, it is important that you take stock of your financial position as soon as possible. Money is often the biggest cause of stress and worry when being made redundant, so it is important to take control of this as soon as you can. Start by creating a budget and looking at all your outgoings to see if there is anywhere you can make savings.
If you have a mortgage, then you should talk to your lender as soon as possible. They may have processes in place that can help to support you until you have a new job. If you rent a property, then you should also make sure that you speak to your landlord. You may be able to apply for things such as Universal Credit or Job Seekers Allowance, so make sure that you speak to the relevant authorities to find out what you are entitled to. This is a good time to look at the career options available to you, and whether there are any opportunities to retrain.
How Lovedays Solicitors Can Help with Redundancy Legal Advice
If you have been made redundant or you feel as though you are about to be, then it can be important to seek some proper legal advice to find out more about your situation. At Loveday Solicitors we have a team of experts who specialise in employment law. We can help to outline what you should expect during the redundancy process and ensure that your employer always follows a fair procedure. We can prepare you for the initial consultation process and tell you what to expect and what options might be open to you.
We can make a detailed assessment of your personal situation and look at your redundancy circumstances to check whether the selection process has been fair. We can then advise you on the legal options that are available. If you wish to challenge the redundancy process. Then our professional team will be on hand to represent you in negotiations and tribunals. Our expertise can ensure that everything is handled correctly and can help to get you the best possible outcome. We can advise you on what your employer might offer you and help you to determine which option is best for you. At Lovedays Solicitors, we are dedicated to helping you through this difficult time and finding the most successful path for you.
Conclusion
Being made redundant is not easy for anyone and it should not be a decision that your employer makes lightly. As well as the emotional stress, there can also be a lot of financial worry as well as practical concerns about your position. It is therefore important that you get proper legal advice so that you can understand all the implications of what is happening.
At Lovedays Solicitors we can offer support for all employees who are facing or challenging redundancy. We can take a detailed look at your situation and the processes that have been followed to help find a successful resolution. Get in touch with our friendly and professional team now to find out more about how we can help you through this difficult time.
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