Redundancies - Your Rights

The legal process around redundancies can be complex, especially if your situation is not straightforward. It can be hard to work out exactly what your rights are, and how you can best protect them. Our experienced solicitors will guide you through the maze of questions, including:

Is there a genuine redundancy situation?

… or is there another underlying reason why my employer wants to get rid of me?

Redundancy is a potentially fair reason for dismissal, but if it is not the real reason why your employer wants to lose you then it is very likely to be unfair.

Have I been selected fairly?

This can sometimes involve the need for selection pools with fair and objective criteria scored even-handedly.  

Has my employer consulted me properly?

A genuine consultation has to take into account the concerns, challenges and input of the employee, including how the redundancy may be avoided. If termination is a decision rather than just a proposal in advance, a consultation cannot be genuine.

Has my employer looked for ways to avoid terminating my employment?

This should include making you aware of alternative employment within the company or group. You are not obliged to accept or apply for an unsuitable alternative role.

Do you have priority rights?

Certain employees, notably those on maternity leave, shared parental leave or those with disabilities, are given extra protection as they should be prioritised when offering alternative employment within the company. Again, you are not obliged to accept an unsuitable alternative role.

Are the payments correct?

As well as statutory redundancy pay (calculated on a set formula, which takes into account your pay, age and length of service) you may be entitled to additional redundancy pay under your contract of employment. 

Notice Pay

If you are being paid ‘in lieu’ of notice, should this just be based on basic pay, or are you entitled to other payments, e.g. benefits, allowances, commission, bonus? Your contract of employment and the employer’s usual practice are of relevance here.

Holiday Pay

How much holiday of your annual allowance have you used? You may be entitled to payment for any unused holiday.

Larger Companies and Mergers

There are other factors which may come into play in your case, especially if large numbers of people are being put at risk of redundancy or the job losses are part of restructure as a result of a merger or acquisition.

Are more than 20 workers at risk of redundancy?

When 20 or more workers are facing dismissal at the same time, the company legally need to collectively consult. This should be with a union or employee representatives. If your employer incorrectly follows the consultation process, this can mean you are entitled to extra money or can claim for unfair dismissal.

Is the restructure due to a merger or acquisition?

If there are job losses due to a merger or acquisition, then special rules (TUPE) come into play. Again, your employer must follow this process correctly, and you may have grounds to make a legal case against them if they don't.