a fair redundancy

Complimentary Webinar Slides:

Marie WalshWinston Solicitors LLP

112 Street Lane Roundhay Leedsmaw@winstonsolicitors.co.uk

A Fair Redundancy

A little bird told me….

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Summary

Definition of RedundancyProcedureConsultationRedundancy and Unfair DismissalRedundancy Payments

Definition

Section 139 ERA 1996

If the dismissal is “wholly or mainly attributable” to the employer

Ceasing or intending to cease to carry on business for the purposes of which the employee was employed by it (business closure)

Definition - Section 139 ERA Cont

Ceasing or intending to cease to carry on the business in the place where the employee was employed (work place closure)

Having a reduced requirement for employees to carry out work of a particular kind or to do so at the place where the employee was employed to work (reduced requirement)

Procedure

Warning – At RiskVolunteersSelection Provisional selectionConsultation meetingsAlternativesDismissal

Collective consultation TULRCA 1992

20 or more employees over a period of 90 days

Under 100 – 30 daysOver 100 – 45 days

Before the first dismissal takes effect

Notify the Secretary of State

Redundancy and UD

Redundancy is a potentially fair reason for dismissal

Section 98(4) applies – Fair ProcedurePool employeesSelect based on objective criteriaBe transparentAvoid any discrimination pitfalls

Alternatives

Trial Periods

Bumping.....

Redundancy Payments

0.5 week's pay for each full year they were under 22

1 week's pay for each full year they were 22 or older, but under 41

1.5 week's pay for each full year they were 41 or older.

Employees can only count a maximum of 20 years' service and the 'weekly pay' is subject to an upper limit.

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