How to undertake a collective redundancy process
14 February 2023
If an employer is proposing to make 20 or more people redundant within 90 days, the obligation to collectively consult will be triggered. There are many different strands to this process and a number of legal obligations to comply with. We have created these infographics to help understand the process at a glance.
In our inbrief on collective redundancies we explain in detail about the minimum time scales of 30 / 45 days. The timescales indicated on these infographics (with collective consultation commencing on “Day 0”) are indicative of a typical consultation process, but what is required in order to adequately consult will depend on the circumstances and timings will need to be adjusted accordingly.
30 Day Plan
This is based on a 30 day consultation period, as required for proposed dismissals of between 20 and 99 employees within 90 days. If 100 or more dismissals are proposed, see the 45 day plan further down the page.
Preparation and planning
Define business proposals: which roles are affected, number of potential redundancies, proposed selection methods, redundancy pay.
Plan for electing representatives: who will organise elections, plan process, approach to constituencies, absentees etc.
Announcements and communications
Town hall meeting announcing potential redundancies and upcoming consultation.
HR1
Send at least 30 days before 1st dismissal takes effect.
Update if information changes.
Elections
Invite nominations.
Hold elections if necessary.
Train representatives.
Collective consultation
With “appropriate representatives”.
Covering avoiding dismissals, reducing numbers and mitigating consequences.
Provide legally-required information to representatives.
Redeployment
Research alternative roles and redeployment opportunities.
After selection, arrange interviews and outplacement
Scoring
Carry out scoring after consulting on pool, numbers and criteria.
Can representatives sign off this part of consultation?
Individual consultation
Finalise scoring and send at risk letters.
Individual consultation meetings.
Suitable alternative roles?
Confirmation of dismissal no sooner than day 30.
45 Day Plan
This is based on a 45 day consultation period, as required for proposed dismissals of 100 employees or more within 90 days.
Preparation and planning
Define business proposals: which roles are affected, number of potential redundancies, proposed selection methods, redundancy pay.
Plan for electing representatives: who will organise elections, plan process, approach to constituencies, absentees etc.
Announcements and communications
Town hall meeting announcing potential redundancies and upcoming consultation.
HR1
Send at least 30 days before 1st dismissal takes effect.
Update if information changes.
Elections
Invite nominations.
Hold elections if necessary.
Train representatives.
Collective consultation
With “appropriate representatives”.
Covering avoiding dismissals, reducing numbers and mitigating consequences.
Provide legally-required information to representatives.
Redeployment
Research alternative roles and redeployment opportunities.
After selection, arrange interviews and outplacement
Scoring
Carry out scoring after consulting on pool, numbers and criteria.
Can representatives sign off this part of consultation?
Individual consultation
Finalise scoring and send at risk letters.
Individual consultation meetings.
Suitable alternative roles?
Confirmation of dismissal no sooner than day 30.
For further support, Lewis Silkin can offer packs for employers containing practical example documents, communications and timelines to help ensure that your process is compliant. We also offer bespoke legal advice on your redundancy exercise and various training packages. Please contact us for further information.