In a recent employment tribunal, SSI steel workers were awarded £6.25 million due to lack of communication during a redundancy process.  Redcar plant shut down last year leaving employees redundant.

Employers must consult with staff even if the end result is inevitable, or forfeit multi-million pound claims.  When dismissing 20 staff or more employers are obliged to consult with staff under a European Directive.

Redundancies should be a last resort and employers must be able to demonstrate that the employee’s job no longer exists. 

Reasons why a redundancy process is taking place:

Legal minimums for redundancy pay:

Where possible, employees should be offered alternative employment within the company.  If an employee accepts the offer they must be granted a trial period without the risk of losing their right to redundancy.

Staff must be paid at least statutory redundancy notice pay.  Employees with more that 2 years continued employment are entitled to redundancy pay.

The redundancy process is complicated and a fair selection process is imperative.  Seeking advice is highly recommended. Call Wurkplace if you need advice and/or support in a redundancy situation.

Need More Information

Get in touch with one of our experts for further details, either by calling us on 0330 400 5490 or through

Contact Us