Redundancy- Help and advice
REDUNDANCY- a situation in which someone loses their job because their employer does not need
them. – Cambridge Dictionary.
Redundancy can happen for a lot of reasons and unfortunately, this has been common during recession and economic downturn as businesses have had to scale right back.
Reasons for redundancy might include:
The company has been acquired by another business
The job you were hired to do no longer exists
Your employer needs to cut costs by reducing staff
The business is closing down or moving
Have you been made redundant and don’t know what to do?
First things first- Don’t get depressed!
Seeking support and advice is crucial before/during/after redundancy. According to Citizens www.citizensadvice.org.uk your employer has to follow a fair redundancy process if you have worked continuously for them for at least 2 years. You also have the right to redundancy pay.
You should be invited to at least 1 individual meeting with your employer to discuss redundancy.
If you’ve worked for your employer for less than 2 years your employer doesn’t need a redundancy process and doesn’t have to meet you individually. It is still worth checking to see if there is a process anyway, so you know what to expect.
Check your employer’s process
This process might be found in your contract or staff handbook. If this process isn’t written anywhere, it is your right to be informed of what the process they are going to follow. According to Citizens Advice, the process has to explain:
✓ How they will choose people for redundancy ✓ How long the decision will take ✓ What meetings you can go to and when ✓ How you can appeal if you’re chosen for redundancy
Meeting your employer to discuss redundancy
Your employer has to meet you at least one before they tell you their final redundancy decision, at this meeting you should be able to discuss:
✓ Why they need to make these redundancies ✓ Why they are considering you ✓ Give you a chance to explain why you shouldn’t be made redundant. ✓ If and what other jobs are available to you ✓ Allow you to ask questions about what happens next
What happens next?
It’s important to know that you cannot be made redundant until the employer has individually issued a formal notice of redundancy. Time of notice are the same as any other type of dismissal:
1 week for staff that has been employed between 1 month and 2 years
Thereafter, there will be an additional week for each year of employment
If you have been working for the same employer for 2 years + you will be entitled to at least
a minimum statutory redundancy pay of up to £30,000 (tax free)
There will be up to 12 weeks for someone who has been employed more than 12 years.
To find out how much you are entitled to check www.gov.uk/calculate-your-redundancy-pay
Your legal rights
Employers must follow certain steps which are all laid out in legislation and the Employment Rights Act. This Act ensures consistently in what employers and employees need to do to make their workplaces a fair environment and comply with the law.