case_studies_redundancy

Are you at risk of redundancy or have you been made redundant?

Your rights in a redundancy situation

  • Employees have the right not to be unfairly dismissed. In practice, this means the right to be consulted in accordance with recognised guidelines and the right to be offered suitable alternative employment where possible. However, the right not to be unfairly dismissed only applies to employees who have completed the qualifying period of service of two years or one year for employees whose continuous employment started before 6 April 2012;
  • Regardless of an employee’s length of service, an employee has the right not to be selected for redundancy on certain prescribed grounds as the dismissal will be automatically unfair. Examples of prescribed grounds include age, disability, gender reassignment, marital or civil partnership status, pregnancy or maternity leave, religion or belief, sex, sexual orientation, racial grounds or group and whistleblowing.
  • In a “collective redundancy situation”, all affected employees have the right to be informed and consulted in accordance with section 188 the Trade Unions and Labour Relations (Consolidation) Act 1992 (TULRCA).
  • All employees with two years’ qualifying service have the right to time off to look for work or arrange training.
  • All employees dismissed for redundancy have the right to contractual notice, subject to the statutory minimum notice.
  • Employees with two years’ qualifying service have the right to receive a statutory redundancy payment in addition to contractual notice or notice pay.
  • An employee may also be entitled to a contractual redundancy payment, if there is an express or implied right to one.
  • If the employer is insolvent or refuses to pay, the employee has the right to apply to the National Insurance Fund for unpaid “employer’s payments”, including their statutory redundancy payment and certain sums due under their employment contract.

Did you know that you are entitled to see the scoring sheet that your selection was based on? Did you also know that you are entitled to know the scores of the other employees who were in your selection pool?

If your employer did not follow the correct procedure then your dismissal could be an unfair dismissal entitling you to claim compensation.Compromise Agreement Solicitors can contact your employer on your behalf to challenge the fairness of any process that has or is being followed or we can advise you “behind the scenes” to arm you with the information you need to protect your position and achieve the best possible outcome.

Remedy for unfair dismissal in redundancy cases

If a redundancy dismissal is unfair, you will normally be entitled to (in addition to the redundancy pay and notice entitlements above:

  • An unfair dismissal basic award. However, this will be cancelled out by the amount of any statutory redundancy payment received).An unfair dismissal compensatory award to compensate for financial loss arising from the unfair loss of your job (although this may be reduced in some cases by any ex gratia or contractual redundancy payment in excess of the statutory redundancy payment).

Occasionally, a tribunal will make an order for reinstatement or re-engagement instead of monetary compensation (although in that case compensation will be ordered to cover the intervening period between dismissal and reinstatement or re-engagement).

You can bring a claim for compensation for unfair dismissal even after you have accepted your statutory or contractual redundancy payment, unless you have entered into a compromise agreement.

 

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