Redundancy

3. Avoiding Redundancies

3.1 You are legally obliged to take reasonable steps to avoid compulsory redundancies.

• The possibilities include short-time working, overtime bans, shedding temporary or contract labour, lay-offs, transfers, redeployments, early retirements, or calls for volunteers. These should usually all be considered and rejected as impractical before there are any compulsory redundancies.
• Over time, natural wastage or a freeze on recruitment might achieve the same result.

3.2 If your plans involve 20 or more redundancies, you must consult with employees' representatives or trade union.

• Employee representatives can be existing representatives, information consultation (I&R) representatives or new ones specially elected for the purpose.
• The process must include consultation on how to avoid dismissals, how to reduce the numbers dismissed and how to minimise the consequences.
• Discussions must be genuine. There is a legal duty on the employer to consult 'with a view to reaching agreement'.