Redundancy how to cope as an employer

The coronavirus outbreak is putting huge financial pressures on our workforce and many organisations are facing very difficult decisions related to staffing. Even with support measures in place from the Government, like the Job Retention Scheme, some industries have ceased operations altogether while others cannot retain staff on a long-term basis due to financial issues.

Whether expected or sudden, redundancy can cause huge uncertainty, stress, and anxiety, and can make existing mental health problems worse.

Our HR Director is a qualified Mental Health First Aider and as such is able to identify, understand, and help support people at work who may need it.

Employers should ensure that, where it is not possible to hold a face-to-face meetings, the consultation process is conducted remotely and employees have access to the necessary technology for participating in the process.

  • Before dismissing employees for redundancy, consider carefully whether or not they can instead be retained under the Coronavirus Job Retention Scheme.
  • Ensure that furloughed staff are consulted as part of any redundancy exercise, using online platforms or other forms of electronic communication when appropriate.
  • Construct a pool for selection based on the future needs of the business and do not penalise employees who have been furloughed.
  • Do not use the fact that an employee has been furloughed as a reason for selecting them for redundancy.
  • Be aware of the potential for discrimination in selecting for redundancy employees whose vulnerability to coronavirus makes it harder for them to return to work.
  • Avoid penalising employees whose difficulties with childcare affect their attendance at work.
  • Be aware that an employee given notice of redundancy who is not provided with work may be entitled to their normal pay for the duration of the statutory notice period.
  • If dismissing a furloughed employee without notice, understand how to calculate a payment in lieu of notice.
  • Calculate a redundancy payment on the basis of the employee’s normal week’s pay rather than their pay while on furlough.

We have redundancy policies and documents that are specifically written to deal with the practical issue of consulting with a remote workforce rather than insist employees attend a formal face to face meeting during this challenging time.

If you’re looking for advice on this subject and want to know how the changes will impact your business.

Contact us by completing our secure contact form

Alternatively call us direct on 01243-607357, or email [email protected]

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