Redundancy

Clear, practical advice to help you understand your rights and challenge unfair redundancy.
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Redundancy

Redundancy is a form of dismissal that arises where an employer closes a business or workplace, or has a reduced need for employees to carry out work of a particular kind. While redundancy can be lawful, employers must follow a fair process and act reasonably. Employees have rights to consultation, fair selection, notice and, in many cases, redundancy pay. Redundancy processes are under increasing scrutiny following recent case law and procedural changes introduced by the Employment Rights Act 2025. We advise employees on whether a redundancy is genuine and fair, and on their options where concerns arise.

This service is for employees and workers who are at risk of redundancy, have been selected for redundancy, or believe the process has been handled unfairly.

We advise on whether a genuine redundancy situation exists, including whether the employer has closed a business or workplace, or reduced its need for employees to carry out work of a particular kind. We also advise where redundancy may be being used inappropriately to address performance, conduct or interpersonal issues rather than a true business need.

We advise on whether the redundancy process has been fair, including the quality of consultation, the identification of appropriate selection pools, the use of objective selection criteria and the fairness of scoring. This includes advising employees who believe they have been unfairly selected or inadequately consulted.

 

We advise on statutory and contractual redundancy pay, notice entitlements and the employer’s obligation to consider suitable alternative employment. This includes advice on trial periods and the impact of refusing alternative roles on redundancy pay entitlement.

Where concerns cannot be resolved internally, we advise on unfair dismissal, discrimination and protective award claims, and on settlement options where appropriate.

Key contact

Alistair McArthur PNG
Alistair McArthur
Partner, Head of Employment

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Alistair McArthur PNG
Partner, Head of Employment
Darren-Smith
Partner
Matt Jenkin PNG
Partner
Hannah King PNG
Legal Director
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Senior Solicitor
Sam Gray PNG
Senior Solicitor
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Maryam Nackvi PNG
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Jo Boxhall PNG
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Cassie Blackledge PNG
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Frequently Asked Questions

Find answers to your most pressing questions about our services and processes.

Employees often assume redundancy is inevitable once announced. In practice, redundancy must be genuine and procedurally fair. A failure to consult properly, apply fair selection criteria or consider alternative employment may render a dismissal unfair, even where a redundancy situation exists.

You are usually entitled to statutory redundancy pay if you have at least two years’ continuous service and your employment ends by reason of redundancy. The amount depends on age, length of service and weekly pay (subject to a statutory cap). Some employers offer enhanced redundancy pay under contract or policy. You may lose entitlement if you unreasonably refuse suitable alternative employment.

A redundancy may be unfair if there is no genuine redundancy situation or if the process is flawed. Common issues include inadequate consultation, unclear or subjective selection criteria, inconsistent scoring, or a failure to consider suitable alternative employment. Redundancy cannot lawfully be used to address performance or conduct issues.

No. Employers must consult affected employees before making final decisions. Consultation must be meaningful and allow you to understand the proposals and put forward alternatives. Where 20 or more redundancies are proposed within 90 days, collective consultation obligations also apply.

Selection must be based on objective, evidence‑based criteria applied consistently across the selection pool. Criteria should not be influenced by protected characteristics such as age, sex, disability, pregnancy, part‑time status or trade union activity. You are entitled to ask how selection decisions were reached.

Employers must actively consider whether alternative roles exist within the organisation. Suitability depends on factors such as pay, status, hours, location and required skills. If a role is suitable, you are usually entitled to a trial period. Refusing a suitable role may affect redundancy pay entitlement.

Yes. If your work continues to be carried out by others, this may raise questions about whether a genuine redundancy exists or whether the correct selection pool has been used. Job titles are not decisive; tribunals look at the reality of the work.

Most redundancy‑related claims, including unfair dismissal, must be brought within three months less one day of termination, subject to ACAS Early Conciliation. Time limits are strict, so early advice is important.

Engage with consultation, ask for information about the rationale, selection pool and criteria, and consider alternative roles. If you have concerns, early advice can help you decide the best next steps.

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