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Redundancy

Selection

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External Links

ACAS booklet redundancy handling

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DTI redundancy payments page

DTI Redundancy Notification Form

There  are various possible scenarios.  Employers should consider which scenario jobs fit into.

 

Scenario 1

The need for a particular job has disappeared, that job is distinct from other jobs.  In this case the job holder will be considered redundant.

 

Scenario 2

A distinct location is being closed .  In this case the individuals filling the jobs at that location will be considered redundant.

 

Scenario 3

A number of people are employed in the same or similar jobs at a particular location and the need for that number of employees is reducing.  In that case the employer must manage a fair selection exercise to determine who will be selected for redundancy.

 

In the case of any scenario there is an overriding obligation on the employer to minimise the number of compulsory redundancies.  For this reason it is important for the employer to invite employees to volunteer for redundancy.  But at the same time the employer should make clear that they reserve the right not to agree to such a request.  

 

The advantage of calling for volunteers is that it is sometimes possible to retain individuals who fit into scenarios 1 or 2 by 'bumping' a volunteer from another part of the organisation and moving the individual in scenario 1 or 2 into that job.

 

Where scenario 3 applies the employer must manage a fair selection exercise. Our suggestion is that in these circumstance the employer first gives all the individuals concerned the opportunity to discuss their circumstance with an independent person. Having established individual circumstances the employer should then agree with staff representatives the criteria to be used in the selection exercise.  Often employers will use  weighted scoring exercise.  A typical criteria might be:

 

Selection Factor

Weighting

Score/ Range

Performance

*4

1.  Unsatisfactory

2.  Below fully competent

3.   Fully competent

4.   Fully competent and                 outstanding in some major areas of   responsibilities.

5.  Outstanding in all major areas of      responsibility.

 

Skills, knowledge, experience and qualification

 

*3

1.   Major failings in most respects.

2.   Some significant gaps.

3.    Satisfactory

4.    Good

5.   Very good.

 

 Absence*

*2

(-2) 5-9 days absence each of last two years up  to date of selection.

(-4)  10+ days absence in each of last two years  up to date of selection.

 

Length of service

*1

Half point for each year.

 

 

Each individual concerned is then assessed against the stated criteria and the assessment numerically weighted.

* Check that the inclusion of absence does not inadvertently lead to discrimination against disabled employees.