Take the RED out of REDUNDANCY
In this current climate the term redundancy is a terrifying reality many of us have had to face, but what does it really mean and how do we overcome the challenges it brings? In this article we will attempt to make you more comfortable with the effective progression of a redundancy, as well as confident in ensuring your company does not suffer financially or reputably.
So what is a Redundancy?
In short redundancy means a person is no longer in employment because the company no longer requires the role they are fulfilling, or they need to reduce the size of their workforce. Remember that redundancies are always about the role, never about the individual. If a company has more than 1 of the same roles all must be considered for redundancy (see below for selection criteria).
Effective use of selection criteria:
Selection criteria is used when a company employs a pool of people with jobs of a similar nature (like for like work) and it helps to establish which criteria is necessary for that role in your business.
When evaluating the necessity of a role, an individual is scored based on the features essential for said role.
The concept involves scoring the individual and ranking them based on said score.
Here are some examples of the criteria often used when ranking individuals:
-Knowledge, skills and experience on scale 1-5
-Work quality, accuracy and productivity scale of 1-5
-Ability, communication and teamworking scale of 1-5
(Employers must include logical reasonings for every criteria)
If more than one individual ranks the same, you would refer to what we call tie breakers. Some examples of these are: Length of service and/or disciplinary records.
When to seek advice:
If you are new to redundancies and/or restructures it is always advisable to seek further assistance from a HR professional due to the significant technical, and legal procedures, involved in the process of redundancies. Unfortunately, due to the nature of redundancies, you will often come across some hostility, so it is advisable to have a HR or Legal professional assist with mediation.
How to avoid complaints and appeals:
If redundancies are executed correctly, following all the necessary procedures, appeals/complaints are rendered futile.
However, employers who disregard proper procedure could be liable for unfair dismissal claims or protective awards. "Redundancy legislation is complex and is covered by statute and case law, with both determining employers’ obligations and employees’ rights." (CIPD 2020. Search. Available at: )
UP NEXT: “Maintaining your employer brand post redundancy”
I have over 15 years’ experience in the field of Human Resources. Throughout my career; I have worked for household names such as HSBC, Informa and Swinton Insurance, both here in the UK and…
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