1. Remember it is the job not the person that is redundant.
2. A job is considered to be redundant if:
The business stops doing what the person was employed to do (e.g. it closes down)
The business stops doing it where the employee was employed to do it
There is a reduced need for that work to be undertaken in that workplace
4. Choose carefully your selection criteria for redundancy. One common approach is LIFO (last in, first out).
5. Plan well in advance and put everything you do in writing.
6. Log every stage - if there are problems, tribunals like to see a clear paper trail.
7. Consult employees and their representatives at least 30 days before the dismissals are due to take place.
8. At the same time send Form HR1 to notify the DTI if there are 20 or more people involved (90 days if 100 or more)
9. Selection criteria, but not individual tallies, should be disclosed to employees as part of the consultation
10. Give redundant employees notice in line with the terms of their contracts (and with not less than the statutory minimum notice period)
11. Employees with two years' service may qualify for redundancy pay.
12. Consider offering voluntary redundancy and early retirement. In order to have a say in who leaves state that you may not be able to accept all volunteers.
Do's & Don'ts:
Do:
Do be firm, clear and unambiguous.
Anticipate and prepare for negative reactions.
Provide written details of both the situation and what is on offer.
Prepare a list of contacts /organisations who may offer help (if no outplacement service is available).
Decide what will happen immediately after the interview. What is the policy of the organisation i.e. will the employee have to clear their desk and leave immediately.
Don't:
Don't hold the interview in view or hearing of other employees.
Don't rush the interview and leave inadequate time for any questions.
Don't give employees conflicting messages.
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