Dismissals & redundancies

Managing dismissals & redundancies

Dealing with dismissals and redundancies can be one of the most challenging aspects of running a business. Not only do these decisions affect your workforce, but they also come with significant legal obligations that, if mishandled, can lead to costly disputes or tribunal claims.

How can we assist with redundancies & consultation for businesses?

Redundancy is a complex and sensitive area of employment law. It requires careful handling to ensure that the process is both fair and legally compliant. Missteps in redundancy consultations, selection criteria, or statutory obligations can lead to claims of unfair dismissal or discrimination, exposing your business to serious financial and reputational risks.

At Anthony Gold, we provide expert advice on managing redundancies, helping businesses handle this delicate process with confidence and compliance. Our team assists with:

Genuine redundancy situations

Redundancy must be based on legitimate business reasons, such as reduced demand, restructuring, or business closure. We ensure your decision is legally justified and explore alternatives like redeployment to protect your business from potential claims.

Fair selection processes

A fair and objective selection process is essential to avoid discrimination claims. We help you create transparent criteria based on factors like skills and qualifications, ensuring the process is legally compliant and reduces the risk of unfair dismissal challenges.

Statutory consultation requirements

Consulting employees at risk of redundancy is a legal requirement. We guide you through the correct consultation timelines and processes, ensuring the consultation is meaningful and meets statutory obligations, helping you avoid future claims.

Mishandling redundancy consultations can lead to costly claims, but with our guidance, you can be confident that your process is transparent, fair, and legally compliant. Whether you’re making a few redundancies or conducting a large-scale restructuring, Anthony Gold Solicitors provide the support you need to get it right.

Why getting legal advice before dismissing an employee Is essential

When it comes to dismissing employees, compliance with employment law is crucial. Making sure you handle the process correctly from the start can save you from costly mistakes down the line. Whether it’s a dismissal for conduct, capability, or redundancy, the steps you take must be both legally sound and commercially sensible.

Benefits of early legal advice when managing dismissals and redundancies as an employer:

Compliance with Employment law

Employment law is complex and ever-changing. Early legal advice ensures your business stays compliant, reducing the risk of costly tribunal claims and protecting your reputation. Our solicitors help you navigate the latest regulations, ensuring every action you take is legally sound.

Minimising risk

Mistakes in dismissal or redundancy processes can lead to unfair dismissal claims. By seeking advice from the outset, you can avoid common pitfalls and ensure your procedures are fair and fully compliant, minimising the risk of legal disputes.

Practical solutions

Every business is unique. We provide tailored advice that fits your specific needs, offering practical solutions that help you resolve employment issues quickly and efficiently, while protecting your business from unnecessary risk.

Words from our clients

Joy Drummond was an outstanding solicitor. This was my first (and hopefully last) time of going through an employment settlement agreement on the back of a redundancy. Joy ensured she explained every step to me and there were absolutely no surprises. Every question I asked was listened to and answers were explained to me in a calm and respectful manner. I am extremely pleased and extremely thankful.

Our Client

Inbar Rabinovitz supported me on my redundancy settlement agreement. I can’t recommend Inbar enough; she was highly supportive and understanding of my situation. Inbard walked me through the process – it was my first time dealing with this – and provided me with comfort, support and a sense of security. I like to add this was turned around in 2 days! Inbar and her team are a 10/10

Our Client

Aneil Balgobin was courteous and very helpful throughout the process regarding my redundancy settlement agreement. He kept me informed and explained everything very clearly. He was prompt in answering my questions via email, and was proactive in calling me regularly, sometimes during the evening, out of regular business hours.

Our Client

Inbar Rabinovitz has just finalised my redundancy settlement in a very swift, efficient and reassuring manner. Extremely professional, very pleasant experience.

Hannah O'Neill

What makes a dismissal fair?

Ensuring that a dismissal is fair goes beyond just having a reason to dismiss. The process you follow is just as important. Under UK law, there are five recognised reasons for fair dismissal, and it’s vital to ensure your business complies with these legal standards.

Here are the five legally accepted reasons for a fair dismissal:

Conduct

When an employee’s behaviour falls below the expected standard, including breaches of workplace policies, theft, or inappropriate conduct towards colleagues.

Capability or performance

If an employee consistently fails to meet the required performance levels or lacks the skills necessary for their role. Employers must follow a fair process, such as setting performance goals and giving the employee a chance to improve, before dismissal becomes an option.

Redundancy

A genuine redundancy occurs when there is no longer a need for a particular role within the business, such as when a workplace is closing, relocating, or downsizing. It’s important to ensure the selection process is fair and based on objective criteria.

Statutory illegality

In certain situations, continuing to employ someone could breach legal requirements, such as when an employee loses a necessary qualification or work visa.

5. Some Other Substantial Reason (SOSR)

This is a catch-all category for dismissals that don’t fit the above criteria but are still considered fair, such as a breakdown of trust and confidence between employer and employee.

Ensuring a fair process: Alongside having a valid reason for dismissal, you must follow a fair procedure. This means conducting investigations, giving warnings where necessary, and allowing employees to respond before making a final decision. If you’re unsure of the steps to take, Anthony Gold can guide you through the process and ensure everything is handled legally.

Role of the Acas Code & Fair Procedures in Dismissals

The Acas Code of Practice sets out the essential steps that employers should follow when considering a dismissal. This Code isn’t just a guideline; it’s a critical part of ensuring that any dismissal is handled fairly and lawfully. Failing to follow these procedures can lead to claims of unfair dismissal, resulting in costly legal disputes and potential tribunal claims.

The key requirements include:

  • Clear communication: Ensuring that the employee understands the reasons for dismissal.
  • Fair process: Conducting a thorough investigation and allowing the employee to respond to any allegations.
  • Opportunity to appeal: Giving the employee the right to appeal any dismissal decision.

By following the Acas Code, businesses demonstrate that they have acted fairly, which can significantly reduce the likelihood of a successful unfair dismissal claim. At Anthony Gold, we guide employers through these procedures, ensuring every step is compliant with the law.

For cases where a straightforward dismissal isn’t the best option, a Settlement Agreement may provide a clean and mutually beneficial way to end employment. We can assist in drafting and negotiating these agreements, ensuring that all parties are protected and that no further claims can be brought against you by the departing employee.

Speak to a member of the Employment team

Managing Business Redundancies and Dismissals: FAQs

How should an employer select employees for redundancy?

Selection for redundancy must be based on fair and objective criteria, such as skills, qualifications, or length of service. Avoiding any form of discrimination during the selection process is essential to prevent legal challenges. Seeking legal advice can help you ensure your redundancy process is fair and compliant.

What should an employer include in a redundancy consultation?

Redundancy consultations should cover the reasons for redundancy, any alternatives to redundancy, and the selection process. Employees must have the opportunity to respond and provide feedback. The consultation period varies depending on how many employees are affected, and legal requirements must be met to avoid claims.

What happens if an employee appeals their dismissal?

Employees have the right to appeal a dismissal decision. The appeal process must be fair and impartial, giving the employee a chance to challenge the outcome. Employers should ensure the appeal is handled by someone who wasn’t involved in the original decision. Legal advice can help ensure the appeal process is properly conducted and compliant with employment law.

What are some reasons that can make a dismissal unfair?

Some reasons for dismissal are considered automatically unfair, including:

  • Making a flexible working request
  • Being pregnant or on maternity leave
  • Taking family leave (e.g., parental, paternity, or adoption leave)
  • Being a trade union member or representative
  • Participating in legal industrial action (up to 12 weeks)
  • Requesting a legal right (e.g., National Minimum Wage)
  • Doing jury service
  • Involvement in whistleblowing
  • Being forced into compulsory retirement
  • Taking or proposing action over health and safety concerns

Employees don’t need two years of service to claim automatic unfair dismissal.