The Solicitor - The FindLaw UK Life, Family and Workplace Law Blog

Redundancy Rights

Redundancy Rights - Redundancy Rights Solicitor

Redundancy occurs when an employer needs to reduce the workforce for some reason unrelated to the conduct or capability of the individual(s) concerned. Generally, a job must disappear for an employee to be made redundant.

Employees have a number of redundancy rights, including the right to: consultation before redundancy to discuss alternatives; a fair and objective redundancy selection criteria and procedure; an explanation of the reasons for dismissal and the basis of selection; appeal against redundancy; try any alternative offer of employment for four weeks; a notice period or payment in lieu of notice; take reasonable time off, with pay, to look for alternative work or training; and redundancy payment, provided the employee satisfies eligibility requirements.

If you need legal advice on redundancy, regardless of where you’re located – be it in London, Manchester, Birmingham, Bristol, Leeds, Sheffield, Glasgow, Edinburgh, Cardiff, Belfast, or elsewhere – you should speak to a local solicitor who specializes in employment law.


Recently in Redundancy Rights Category

Redundancy Rights: Off-License Group Announce 2,000 Job Cuts

| No TrackBacks

Administrators at off-license group First Quench have announced they're closing 381 of the company's stores and cutting 2,000 jobs after negotiations to find a new buyer collapsed.  First Quench owns a number of well-known high street chains, including Threshers, Wine Rack, Haddows, Victoria Wine and Bottoms Up.

However, Richard Fleming,of administrators KPMG, is still hopeful First Quench can shift "a significant number" of its remaining stores as "going concerns."  The reports EFB Retail may be one of the interested parties.  Supermarket chains may also be interested in cherry-picking sites.

"Unfortunately there was not sufficient interest in the 381 stores as part of the going concern sale, so we have no option but to close them," Fleming said.

Redundancy rights

If you've been made  recently, or you're worried about being made , you should know you have a number of legal rights, including:

Redundancy Rights: Ray Of Light For Vauxhall Workers

| No TrackBacks

According to the , there's a good chance will result in fewer UK .

Peter Mandelson met with GM Europe's acting chief executive Nick Reilly in London this week.  Reilly told him Vauxhall workers had a "good future" under GM ownership.

Unfair Dismissal: Man Sues Balfour Beatty Over Whistleblowing

| No TrackBacks

A man who worked as a project manager at construction firm Balfour Beatty has been given the go ahead to sue his former employer for .

Alan Dransfield, 59, was employed by the company for over four years and raised concerns over in November 2008.  Two months after , he was told the company wanted to make him t. 

Mr. Dransfield appealed the decision and was put on leave for five months.  His appeal was ultimately dismissed, however, and he became officially  in June 2009.

Mr. Dransfield has now launched a claim for  under the .  At a case management meeting on 27 October, a judge gave him permission to pursue a claim worth up to £300,000, which reflects his anticipated loss of earnings.

A spokesperson for Balfour Beatty commented: "Balfour Beatty takes whistleblowing cases very seriously and investigates each one following the processes we have in place."

Redundancy Rights: Fujitsu Avoids Strike At Eleventh Hour

| No TrackBacks

In August, IT company Fujitsu announced 1,200 job cuts due to the difficult global economic climate.  A process of consultation with elected employee representatives of Unite union began shortly afterwards.

770 staff from the 1,200 initially targeted redundancies have already taken compulsory redundancy.  But Unite says up to 6,000 staff - nearly half of Fujitsu's UK workforce - are "at risk" of losing their jobs. 

The jobs announcement came on top of an ongoing pay freeze and plans to close the company's defined benefit pension plan to future accruals.  Unite says this would affect 4,000 UK employees and effectively reduce their pay package by an average of 20%.

Redundancy Rights: GM To Axe 10,500 Jobs Across Europe

| No TrackBacks

General Motors (GM) has announced it will cut 10,500 jobs in Europe after it cancelled its deal to sell Opel to Canadian firm Magna.

GM has yet to say where the axe will fall, however.  It employs 54,000 workers across Europe, 5,500 of whom work in Britain for Vauxhall Motors.

The in protest at the decision.

The unions fear two of the four Opel factories located in Germany could close under the GM plan, whereas under the Magna agreement they had received assurances that all four would remain open.

The German government, which had backed the sale of Opel to Magna, has demanded GM repay the 1.5bn euro ($2.2bn; £1.3bn) it loaned the company.

UK reaction

At Vauxhall, Unite last month reached a deal with Magna to limit any UK job cuts to 600 - and all through voluntary .  The union will now have to seek a fresh agreement with GM.

The man responsible for negotiating the deal on behalf of Unite members - Unite general secretary Tony Woodley, a former Vauxhall employee - was jubilant about GM's decision to hold on to Opel, describing it as "fantastic."

Laws In The Workplace

| No TrackBacks

Over the past , we've taken a look at a number of different

We began with , , and .

After that, we looked at and - including the .

Next, we discussed (including the ); ; ; and discrimination on grounds of , , and .

We then considered ; ; the ; and .  We also discussed .

After this, we looked at the significance of and .

From here, we analysed , , and .

We next looked at and .

Unfair Dismissal: Belief In Climate Change Akin To Religion

| No TrackBacks

Tim Nicholson claims he was because of his , which he alleges put him at odds with senior executives at former employer Grainger plc.

In March, an employment law judge ruled he could invoke legal protection against discrimination and claim , since philosophical beliefs are protected alongside s.

Grainger appealed the decision on the grounds that belief in climate change is "political" and a "lifestyle choice," which should not be compared to religion or philosophy.

This week, the Employment Appeals Tribunal (EAT) rejected Grainger's appeal and found that a belief that carbon emissions must be cut to avoid catastrophic climate change was capable of amounting to a philosophical belief. 

In reaching its decision, the EAT held that, unlike the position pertaining to religious beliefs, Mr. Nicholson would probably need to be cross-examined on his belief in order to establish it.

The EAT also enunciated a new five-prong test to determine whether a philosophical belief is worthy of protection:

Redundancy Rights: Royal Bank of Scotland Plans 3,700 Job Cuts

| No TrackBacks

The Royal Bank of Scotland (RBS) has announced plans to cut 3,700 jobs across its UK branch network in a bid to modernise the way the bank operates.  The redundancies follow a strategic review of the bank and will take effect from May next year.

Unite National Officer, Rob MacGregor, condemned the plans as "absolute madness" and said the cuts were being made "to fund the crisis caused by City bankers."

Redundancy Rights: BA Fails To Compromise Over Cabin Crew Cuts

| No TrackBacks

British Airways and the UK's largest union Unite have failed to reach a compromise over cabin crew job cuts and changes to working conditions, after another round of talks ended on Monday.

Hit by the slump in business class travel, BA posted record losses of £401m last year, and £148m for the first quarter of this year, prompting its chief executive, , to say it was in a "fight for survival."

As part of the airline's cost-cutting plans, 1,700 full-time BA cabin crew face .

Unite says that if the plans are implemented, cabin crew should expect   The union believes this will inevitably damage customer service and hurt the brand, "possibly beyond repair."

But BA insists the changes will not damage customer service and are necessary to ensure the airline's "long-term survival."

Redundancy Bumping Rules

| No TrackBacks

Generally, your job must disappear for you to be made redundant, but it can also happen if someone else's job disappears and they are moved into your job, making you redundant. 

This is known as redundancy bumping (a.k.a. transferred redundancy), which often happens when a more senior employee is prepared to take a more junior role to avoid redundancy. 

Redundancy bumping rules became a hot topic for employers this year, as the recession hit and they looked at different ways to cut costs and shed staff.

Bumping-related legal issues fall into two categories:

  1. Unfair bumping redundancy; &

  2. Unfair dismissal without considering bumping.

Employee Redundancy Rights To The Fore In BA Cabin Crew Dispute

| No TrackBacks

Unite, Britain's biggest union, has denounced British Airways executives for trying to "impose" contractual changes on 14,000 cabin crew employees and "introduce a second tier workforce on poorer pay and conditions."

Hit by the slump in business class travel, the airline posted record losses of £401m last year, and £148m for the first quarter of this year, prompting its chief executive, , to say it was in a "fight for survival."

As part of the cost-cutting plans, reports 1,700 full-time BA cabin crew face .

Unfair Dismissal & Redundancy Claims Sky Rocket

| No TrackBacks

The published this week for the year ending 31 March 2009.

They show rises in claims for (up 29%), (up 31%), (up 48%), and - failure to
inform and consult (up 254%).

Redundancy Rights: Ex-Denby Pottery Workers Break The Mould

| No TrackBacks

An employment tribunal in Nottingham has awarded forty-six former Denby Pottery workers thousands of pounds in compensation after the company .

The workers' union, , secured a protective award on their behalf, which is pursued when an employer breaches the in good time prior to commencing a collective redundancy exercise.

Redundancy: Government Plans Six-Month Pay Cuts To Avoid Lay Offs

| No TrackBacks

The Mirror claimed yesterday that .  The paper claims the Government is considering various proposals, including one plan where workers would receive £128 per week - double the amount of unemployment benefit - which would be funded 50-50 by employers and the Government.

The aim of the plan would be to allow companies to cut costs until the economy and demand improves and then rehire people on full pay.  And if workers were actually laid off after six-months, they would still be entitled to full .

The Mirror claims the proposals have the support of both businesses and the trade unions.  However, the paper erroneously quotes Gordon Brown as telling the 141st TUC Congress this week that he was '"reviewing the issue of redundancy" in a bid to shorten growing dole queues.' 

Mr. Brown said no such thing during his .  He mentioned redundancy only once during his address, commenting that "every redundancy is a personal tragedy."

Redundancy Pay Tied To Average Earnings Index

| No TrackBacks

The  in Liverpool. 

As reported last week, the TUC is calling on the government .  Union leaders also hope to persuade the government to increase the the weekly limit for statutory redundancy pay from £350 (which rises to £380 starting October 1) to at least £500, and to ensure that future rises are in line with average earnings.

The current £350 limit is far lower in real terms than the original value of statutory redundancy pay when it was introduced in 1965 to ensure that employees are properly compensated when they lose their jobs.