December 08 2014

If you’re considering making redundancies in your business you need to be mindful of the business case that you must develop for consultation with your employees before you start the redundancy process.

You need to thoroughly prepare and examine your business case for implementing a redundancy before you consult with your employees. It’s absolutely vital that the information in the business case is accurate. If it’s not accurate and it’s relied upon to make any of your employees redundant, there’s a real risk that your redundancy decision may be found to have been unjustified – if it’s challenged.

As an employer you need to be proactive in disclosing to any of your affected employees information that’s relevant to the continuation of their employment at the time that you advise your employees of your redundancy proposal. It may also be useful for you to consider what questions any of your employees are likely to ask and what information they may request. You may want to volunteer some of that information, rather than wait for them to ask.

Not only do you need to be careful with the preparation of your business case and information that you give to these employees, but you also need to be very careful of the process followed in implementing these decisions.

The rural financial climate continues to display extreme volatility and many employers are regularly reviewing their costs and staffing decisions. If you’re thinking about redundancies in your business please be in touch with us before you embark on this process.

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