If you have staff and your business has suffered a decline you may need to consider looking at redundancy. This is never a nice thing to do as you are aware that it has an impact on families or individuals, but if the cashflow is not there to pay people, redundancy may be your only option.
You need to get advice about redundancy as there are several things to consider;
- Length of Service
- Pension Rights
- Core role in company and how it will be fulfilled
We recommend a firm who can advise on redundancy, they are specialists and cover UK wide. They have people you can hire for a few hours or months at a time. Each business in the UK will have varying needs and this company can help.
Counselling for Employees
You will need to offer people counselling if they have been with the business for a period of time, they may be traumatised and even ask for transfers if you have a UK branch network. There is a lot to consider for both the individual(s) staff member and also the business.
Operationally it can be difficult when you need to go through the redundancy process with people. The person was doing a job in the business so that means their duties will either need to be given to others, or the business reshaped to allow for the reduction in headcount.
If you are giving other people additional responsibilities, due to the redundancy, they may ask for extra money to offset their activity levels, this needs taken into consideration and we recommend you get advice to ensure you are keeping with all employment law advice. Employees have automatic rights if they join your workforce, it doesn’t matter if they signed a contract, the fact they have started work means they have employee rights.