Restructuring and redundancy
Businesses constantly have to change and adapt to new, sometimes unexpected circumstances. Unfortunately, this can lead to the loss of jobs. Talbots Law can help you restructure professionally and fairly, and can provide guidance on maintaining staff morale and productivity levels whilst the changes occur.
Whatever your reasons for restructuring your business, it is important that those affected are treated fairly and proper procedures are followed. Informing employees and involving them throughout will help prevent legal action being brought when you take the final decision. If you think redundancies are likely or you’re planning some kind of reorganisation, our expert employment lawyers can advise you fully. Our advice is pragmatic and straightforward, making us one of the most trusted employment lawyers in the West Midlands.
Why should I choose Talbots Law for restructuring and redundancy?
The most important aspect of restructuring and redundancy is to act fairly. Fortunately, this is one of our firm’s strongest values. You can be assured that when you engage us to manage your organisation’s restructure, our redundancy law experts will act fairly, not only towards you, but all those affected by the process.
Restructuring a business is complex enough, but rest assured, dealing with us is easy. As a law firm, we keep everything simple, understandable and unpretentious. Our clients are left under no illusions that we put them first and value their business.
The redundancy process
In general, employees dismissed by reason of redundancy have rights to:
- a redundancy payment (after two years’ continuous service)
- the application of a fair redundancy procedure
- reasonable time off work to look for alternative employment
Redundancy is a statutory fair reason for dismissal.
However, as with other potentially fair reasons, the fairness of dismissal is to be determined by the test of whether an employer's decision to dismiss falls within the band of reasonable responses of a reasonable employer in those circumstances and in that line of business.
Failure to follow a fair procedure will normally render the dismissal unfair.
A fair procedure comprises a number of stages:
- warning and consultation
- fair basis for selection
- consideration of alternative employment
Talbots Law employment team will ensure your best interests are protected and you are following a fair procedure at all times. You can be confident of our advice, and we can assist you with the consultation process and negotiations with relevant trade unions.
Information and consultation
Information and consultation is a vital part of any kind of fair dismissal and, if the employer wishes to minimise the risk of liability to pay compensation to affected employees, must play a significant role in any redundancy exercise.
Our employment experts will advise you every step of the way. If a dispute during the restructuring and/or redundancy process occurs, we will help you manage it fairly and swiftly. We are mindful of your business reputation and will act responsibly to ensure it is protected during the change period.
Restructuring and redundancy FAQ’s
Can I use ‘last in, first out’ as a selection tool?
There is nothing to stop you doing this; however, it could leave you open to a discrimination claim. For example, if your newer workers are mostly younger, it could mean you treating them less favourably simply because of their age, even if you didn't mean to.
Can I use an employment contract to remove the right to statutory redundancy?
No, as statutory rights cannot be removed by an employment contract, only enhanced.
Is a voluntary redundancy a resignation?
If an employee volunteers for redundancy it is still a redundancy dismissal and the employment contract is not terminated by mutual consent.
Let us make restructuring and redundancy as smooth and positive as possible. Speak to the employment solicitors at Talbots Law for advice today on 0800 118 1500.
- Reyhana Koser
- Solicitor & Senior Associate
For more information please contact us