Restructuring Before Redundancy: What Employers Need to Know
It is understandable that right now, as an employer, you may be thinking about employee redundancy. But the fact is, the redundancy process is not straight forward, and there are many alternatives employers need to think about before considering redundancy as an option.
It’s important to regularly check that your business is structured the best way for success. Having the right roles structured the right way means you can meet the needs of your customers and take your business to the next level.
If things have changed and you think a new structure could improve the way your business operates, you might want to investigate restructuring. This doesn’t necessarily mean making employees redundant (though that could happen) but it might mean peoples’ roles change.
Restructuring can involve:
• adding new roles
• merging two or more existing roles
• losing roles that are surplus to requirements
• Transferral to other worksites;
• Retraining; or
• a combination of these things.
For the full restructure process including task lists, see HERE
It is only after the steps for redundancy pick up at the end of the restructure process.
Remember, an employer can’t make changes to terms and conditions agreed in an employment agreement, including hours of work, wages or salary, or the nature of the job itself, without the agreement of the employee. This should be recorded in writing.
Another helpful link for redundancy alternatives see HERE