Redundancy Consultations: What to Expect and Questions to Ask

In today’s dynamic world of business, companies and organisations have to adapt to survive internal/external challenges. Reorganisation may be an unfortunate yet necessary solution when dealing with these challenges. Redundancy consultations are an important part of that process, and understanding how to navigate these consultations well is important for both employers and employees.

In this blog we’ll demystify the process, giving insights into what to expect, useful talking points, and questions to ask to have smoother conversations.

So, What Actually are Redundancy Consultations?

Redundancy consultations are formal meetings between employers and employees about potential redundancies and are an incredibly important opportunity for two-way communication. The consultations are to ensure fair treatment and compliance with legal requirements. also offer a chance for employers to explain the reasons behind the redundancy and for employees to ask questions, raise concerns, or suggest alternative routes.

What to Expect in a Redundancy Consultation Meeting

Understanding what to expect from these meetings can help with mental and practical preparation for any upcoming discussions. Here's a detailed look at what to anticipate during individual and collective redundancy consultations.

For small businesses, the most common type of redundancy is known as an ‘individual redundancy’, where less than 20 redundancies are planned across the organisation. Employers should ideally be engaging in meaningful consultations with every single employee that has been affected by individual redundancies. While there aren’t any strict legal requirements as to how HR managers and line managers should carry these consultations out, good practice suggests:

● Discussing ‘why?’: Employers should be clearly explaining why redundancy is being considered and provide specifics about the business reasons behind the decision.

● Exploring alternatives: Employers should be expected to discuss possible alternatives to redundancy, such as retraining, redeployment, or part-time work arrangements.

● Selection criteria: If applicable, the criteria used to select individuals for redundancy should be discussed, ensuring transparency and fairness in the process.

● Support measures: Information regarding support measures, such as career counselling, job search assistance, and financial advice should be provided.

For larger organisations that plan to make 20 or more redundancies within a 90-day period at one establishment, then ‘collective consultation’ rules apply. The difference between individual redundancies is that these consultations involve representatives from trade unions or elected employee representatives, while also having set rules:

● Consultation period: Depending on the scale of redundancies, consultations must start at least 30 days before the first dismissal takes effect for 20-99 redundancies, and 45 days before for 100 or more redundancies.

● Topics of discussion: Employers must discuss ways to avoid redundancies, minimise dismissals, and mitigate the effects on employees. This includes exploring alternative employment within the company, retraining opportunities, and support packages

● Legal requirements: An important one - Employers legally have to notify the Redundancy Payments Service (RPS) before starting collective consultations, as well as provide certain information about the redundancy process to employee representatives.

At The Little HR Department, we deal almost exclusively with individual redundancy scenarios, though it’s still good to have a general understanding of the differences between the two redundancy types.

Talking Points and Questions to ask in a Redundancy Consultation

Having a script or set of talking points can help both employers and employees walk into redundancy consultations with confidence. Here are our pointers for both employers and employees:

Employers

● Empathy and clarity: Begin the consultation with empathy, acknowledging the difficulty of the situation. Be clear and transparent about the reasons for redundancy.

● Listen actively: Provide ample opportunity for the employee to express their concerns and suggestions. Active listening can lead to constructive outcomes.

● Offer support: Clearly outline the support available to the employee, including financial packages, retraining opportunities, and job search assistance.

● Next steps: Conclude the consultation by summarising the discussion and outlining the next steps, including timelines and any further actions required.

Employees

For an employee, asking the right questions during redundancy consultations can help clarify the situation. Here are some good questions for employees to consider asking:

1. What is the reason for the redundancy? The go-to question is to ask why a redundancy is happening in the first place. Understanding the business rationale behind the decision will give some clarity and hopefully some closure.

2. How was I selected for redundancy? Employers should have a fair and objective selection criteria that will explain in full why an employee has been selected.

3. What support is available to me? Most employers don’t want to leave their employees fully stranded. Asking this question will offer information on any statutory redundancy pay, notice pay, and career counselling.

4. What is the timeline for redundancy? When a redundancy is taking place, knowing when the redundancy will actually take effect can help plan those next steps.

5. Are there any alternative roles available within the organisation? Sometimes, one door closes and another door opens. There might be opportunities for the employee to move into a different role within the business.

While an employer will take the lead in a consultation, employees should also come prepared. Here are some additional things employees should remember to make the most of the redundancy consultation:

● Research: Employees should understand their rights, get familiar with any relevant company policies or procedures and review any documentation they’ve received about the redundancy process so they can prepare questions or points they wish to discuss.

● Speak up: Employees should always express any concerns or uncertainties they have about the redundancy process. If something isn't clear, this is the best time for them to ask for information.

● Discuss ideas: Employees should come to the consultation with some redundancy support ideas or alternatives. This could include part-time work, job sharing, or retraining opportunities.

● Seek support: It’ll be beneficial for employees to inquire about any support available during this transition, including career counselling, retraining programs, or financial assistance.

Conclusion

Redundancy consultations, though challenging, are an integral part of HR practices. By approaching these consultations with good preparation, empathy, and a clear understanding of the process, HR managers or line managers can ensure a fair and supportive experience for any affected employee. Remember, open communication and support are key to navigating redundancies effectively.

For HR managers and line managers, remember:

1. Keep things professional: Regardless of your feelings about the situation, it’s important to maintain professionalism throughout the consultation process.

2. Be open to dialogue: Approach the consultation with an open mind, ready to engage in constructive dialogue.

3. Document everything: Keep records of all communications related to the redundancy consultation for future reference.

At The Little HR Department, we offer advice on redundancies as well as all other areas of employment law. Don’t hesitate to get in touch today if you need support with your HR solutions.