Employment and Redundancy
ACAS, CBI and TUC released a joint statement on handling redundancies
ACAS, CBI and TUC have released a joint statement advising employers on dealing with redundancy situations caused by the coronavirus pandemic. Although the statement recognises that
redundancies may be a difficult yet necessary sacrifice for companies to survive during this fragile economic environment, it stressed that it should be used as a measure of last resort. Instead,
working alongside workers and trade unions to find alternative solutions, such as retraining loyal staff members, switching from full time to part time working or cutting overtime, is encouraged to
reduce costs of redundancy, employment tribunals and recruitment once the economy recovers.
Nonetheless, the statement outlines five guiding principles for employers considering redundancies. These rules, as contained in the official ACAS website, are as follows:
Do it openly: There are rules for collective redundancies (those involving 20 or more staff), but whatever the scale, the sooner people understand the situation, the better for everyone.
Do it thoroughly: To understand what’s happening, people need information and guidance. Have you trained your staff representatives in how it all works?
Do it genuinely: Consultation means hearing people’s views before you make a decision; so be open to alternatives from individuals and/or unions; and always feedback.
Do it fairly: All aspects of your redundancy procedure should be conducted fairly and without any form of discrimination.
Do it with dignity: Losing your job has a human as a well as a business cost. The way you let people go says a lot about your organisation’s values. Think about how you will handle the conversation – whether it’s face-to-face or remote. And remember, you may want to rehire the same person in the future.
The full statement can be found here: https://www.acas.org.uk/joint-statement-acas-cbi-tuc.