Case illustrates the importance of handling redundancy process properly

7th December 2016

Case illustrates the importance of handling redundancy process properly

Managing redundancies is often a grim task for any organisation. But given the sensitivities involved, it’s vital the process is handled in the right way.

In one recent case, the manner in which an employee was treated during his dismissal procedure could end up costing his former company a hefty sum.

The property management company where the man had worked for more than 40 years took the view there were too many senior managers in his department and identified him as being at risk of redundancy. He was immediately placed on paid gardening leave and told that he should not contact clients or colleagues. His shock and hurt at being made redundant was compounded when the company sent him a letter addressed to ‘Paul’, despite his name being Peter.

He lodged an unfair dismissal complaint with an Employment Tribunal (ET), arguing that the consultation process leading up to his redundancy had been a sham and its result predetermined.

Although the company argued that there had been no suitable alternative vacancies that the man could have filled, the ET was highly critical of the way in which the matter had been handled. However, it went on to reject his claim on the basis that the consultation process had been reasonable.

However, his compensation hopes have been boosted thanks to a powerfully worded decision by the Employment Appeal Tribunal (EAT). In upholding the man’s appeal, the EAT said it was troubled by the apparent contradiction in the ET’s reasoning. It was difficult to see how the consultation process could have been perfunctory and insensitive whilst at the same time being reasonable. The man’s claim was sent back to a freshly constituted ET for rehearing.

How can our employment law solicitors help?

Understanding employment law is crucial for any business. Whilst the outcome of this case is still undecided, it sounds like the process was unfair. If there was a lack of consultation, or consideration of other senior managers who should also have been put at risk, or any hint of pre-determination of the decision, that will usually lead to a finding of unfair dismissal. This could lead to an unnecessary compensation payment and significant legal fees in defending the claim and the appeal, all of which could have been avoided if the redundancy situation had been handled properly.

Our specialist Suffolk solicitors, based in Ipswich, Melton, Hadleigh, Felixstowe and Woodbridge, act for businesses large and small in Suffolk, Essex and further afield. If you are thinking about making redundancies, we can guide you to where you need to be with a minimum of fuss and expense.

To find out more, contact our Employment Solicitors on 01473 298126.

Blog Posts

Ignorance over asbestos threat putting workers’ lives at risk

09/05/2018

Uncertainty and ignorance surrounding the dangers of exposure to asbestos could be putting the…

Read More
Upcoming Events

Gotelee Legal Walk

07/06/2018

Gotelee Solicitors are walking the Ipswich Legal Walk on behalf of the Eastern Legal…

Read More
News Posts

Mend and Make-do: What Protection Does the Existing Law Offer Victims of ‘Upskirting’?

11/07/2018

Efforts to make upskirting a crime in its own right - and punishable with…

Read More

Testimonials

"Approachable, very efficient, always willing to take my calls and update me."

- SH

"We were very pleased to have Jade as our solicitor, the service was excellent and we felt kept in the loop which minimised stress"

- CT

"I have used Tracey Laflin at Gotelee on a number of occasions and in my opinion, she is simply the most efficient conveyancing solicitor I have ever worked with. From the outset, she took the time to understand my specific business requirements and to date, she has exceeded all of my expectations."

- Dale Fiddy - Portobello Developments Ltd

"I don't think this house sale would have pulled together without Jo's determination and expertise. Excellent!"

- MT

"Jade Shelton was absolutely fantastic!! Professional and proactive at all times."

- JH

"This is by far the go-to firm for any issues. You are made to feel valued from the outset and they are so confident in what they do. Wouldn't recommend any other. Thank you Hugh and Max."

- Ros Jones

"Domini was very fast and efficient in carrying out her work for me - she was also very good at explaining things to me"

-

"Prompt, helpful, polite and very professional service"

-

"The ease that we could access and speak to Pat Smith - Thank you"

-

"We found Rachel Dawson outstanding, polite, professional and caring."

-

Please select preferred method of contact

* We will only contact you by telephone if you select this as primary form of contact.