Redundancy Consultation: What Meaningful Consultation Actually Looks Like
Updated: 3 days ago
Redundancy consultation is not simply a meeting that takes place after management has already made the decision. If the outcome is genuinely predetermined, the organisation may have a consultation problem before the first meeting even starts.
WHAT DOES MEANINGFUL CONSULTATION MEAN?
Meaningful consultation means employees are informed about the proposal, understand why change is being considered and have a genuine opportunity to comment before final decisions are made. Employers should listen to suggestions and seriously consider alternatives, even if they do not ultimately accept them.
START WITH A CLEAR BUSINESS RATIONALE
The organisation should be able to explain what is changing and why. That might involve reduced work, a change in structure, cost pressures, duplication of roles, a site closure or another genuine business reason. The rationale should be clear enough for affected employees to understand the proposal and respond to it properly.
CONSULT BEFORE THE DECISION IS FINAL
Consultation should take place while proposals are still capable of being influenced. If employees are simply told what is going to happen, that is communication of a decision rather than meaningful consultation.
DISCUSS ALTERNATIVES
Consultation should explore ways to avoid redundancies or reduce their number where possible. This may include alternative roles, reduced hours, changes in structure, vacancies, voluntary redundancy or other workable proposals. Suggestions do not have to be accepted, but they should be considered genuinely.
SELECTION NEEDS TO BE EXPLAINABLE
Where selection is required, employers should think carefully about the pool, criteria, evidence and scoring process. Criteria should be as objective and relevant to the future needs of the organisation as possible, and managers should be able to explain how scores were reached.
INDIVIDUAL AND COLLECTIVE CONSULTATION ARE DIFFERENT
Individual consultation remains important in redundancy situations. Where an employer is proposing 20 or more redundancies within a 90-day period at one establishment, collective consultation obligations also apply, including consultation with appropriate representatives and statutory timescales before dismissals take effect.
KEEP A GOOD AUDIT TRAIL
Document the rationale, consultation discussions, questions raised, alternatives considered, selection decisions and final outcomes. Good records help demonstrate that consultation was genuine and that points raised by employees were considered rather than ignored.
THE BOTTOM LINE
A strong redundancy process does not begin with a list of names. It begins with the business reason for change, a proposed structure and a consultation process that remains open to challenge and alternatives until the appropriate point.
Facing a redundancy or restructure? Book a free consultation with Karen Lewis Chartered FCIPD at The HFactor for practical support with planning, consultation, selection and implementation.
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