Redundancy & Covid – ACAS, CBI and TUC Guidance

Posted:24th September 2020

In a joint statement issued on 23rd September the three Organizations have issued encouragement to all Employers considering redundancies to “exhaust all possible alternatives” before taking decisions.

They acknowledge the “human cost” as well as the “business cost” and have emphasized the need for any Employer contemplating redundancies to follow 5 key principles:

  • Do it openly – emphasizing the need to warn employees early.
  • Do it thoroughly – emphasizing the importance of training the individuals tasked with implementing redundancies on how to get the process right
  • Do it genuinely – emphasizing the importance of real consultation with staff and not simply paying lip service to it
  • Do it fairly – emphasizing the importance of ensuring that all aspects of the procedure are conducted fairly and without discrimination
  • Do it with dignity – emphasizing the importance of acknowledging the personal impact of redundancy and its effect on families

The guidance also encourages Employers to think creatively by considering additional part time working, cuts to overtime alternative roles and re-training a means of retaining staff who may be difficult to replace when the economy recovers.

The guidance is of course timely with may more redundancies expected when the Furlough scheme (at least in its current form) ends at the end of October.

For advice on “how to get it right” and to minimize your exposure to the risk of an unfair dismissal claim, please do not hesitate to get in contect with Graham Shannon our Employment Solicitor on 0191 500 6989 or at [email protected].