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Redundancy Help


thumperrabbit
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When we were in this sort of position in school, the criteria were supplied by HR. You must have someone you can call upon for this?

No HR I'm afraid we are committee run, we can ask our PLA advisor for advice but just wondered if others had been through it

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I threatened it but staff agreed to all cut back their contracted hours which avoided it. I think the criteria (will look tomorrow) were:

 

Qualifications

Length of service

Fitness to work

Flexibility to work different hours

 

It also was a specific role (Deputy) that the 'pool' was as it has to be a position that's become redundant not a particular person

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I threatened it but staff agreed to all cut back their contracted hours which avoided it. I think the criteria (will look tomorrow) were:

 

Qualifications

Length of service

Fitness to work

Flexibility to work different hours

 

It also was a specific role (Deputy) that the 'pool' was as it has to be a position that's become redundant not a particular person

 

So does that mean I (committee) have to say "we need to reduce by 1 key person"? Not we need to lose 1 person??

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Are you a member of Lawcall? If so I sugest you give them a call.We are going through this process (although slightly different) at the mo and they helped us with the legalities and timescales of things.

Horrible stuff - good luck

K

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I would always make the ACAS website my first port of call in situations like these. They offer really sound advice, designed to prevent you being taken to an industrial tribunal!

 

Have a look at their advice on selecting people for redundancy here: http://www.acas.org.uk/index.aspx?articleid=3691

 

You have my sympathies. This is a horrible thing to have to do, but at least if you get good advice you'll be able to do it in the right way and minimise the stress for everyone. Good luck!

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Good advice from the others - I started with ACAS and took advice from them. I think that's right (one key person rather than one person) but if you can genuinely lose any one of your staff then maybe it doesn't matter. Check with ACAS.

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  • 2 weeks later...

I'm still looking for some help in this area....we have been told by both our advisors and the PLA that we can not make anyone redundant if we have money in the bank as we are a charity, apparently ACAS will say the same.

My worry is our numbers are so low we are over staffed by 4 people on one day and by 2 staff on other days, our money in the bank will disappear VERY quickly, but that doesn't seem to come in to it

The PLA even suggested asking staff to forego their wages!!!

Any advice, anyone?

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I'm not so sure this is correct as redundancy has to follow a due process e.g you have to start consultations with staff prior to doing the redundancies. Sorry not very helpful but have you actually contacted ACAS or just been told by someone else that this is what they would say.

This is on their website:

here and here

 

However they man their helplines until 8 pm most nights so I would definitely give them a ring as redundancies and employment law can be a minefield and really does need to be followed correctly. just because you are a charity doesn't mean you still dont have to adhere to legislation. From what I can remember a while back, when dealing with a redundancy (not at work but as part of a PSLA committee) we had to speak to ALL the staff despite knowing who was going to be made redundant as her job was no longer required. This process was started something like 3 months before it happened. We also weren't sure if we may have had to make another DW redundant as well. There was money in the bank, but only enough to pay for xx amount of months running costs after that with the situation they were in it would have been gone. Sorry it is all rather hazy now but if you are still stuck I could maybe try and get some further info for you.

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I'm not so sure this is correct as redundancy has to follow a due process e.g you have to start consultations with staff prior to doing the redundancies.............................................

.....................................we had to speak to ALL the staff despite knowing who was going to be made redundant as her job was no longer required. This process was started something like 3 months before it happened.

 

This rings a bell with me. As part of a larger organisation we were all issued with 'threat of redundancy' letters even when our department was not affected. As lynned said this was the minute they knew they may have financial difficulties ahead - it was about 3 months notice before actual redundancies started taking place.

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If you can't make anyone redundant - can you drastically cut hours?

Seems madness to me, if you don't manage to sort it - I guess everyone will be made jobless in the end!

 

This is what they (PLA & LEA advisors) have advised us to do....basically keep going until the money runs out - I don't get it. We could reduce by 2 staff and then keep everyone else 50p above minimum wage as they are and we should be able to complete another year and hope it picks up

OR do what they say and reduce everyone to minimum wage then reduce hours to only working a 2 day week until we shut down

 

Both these advisors claim their info comes from ACAS but I will call them to day to double check.

 

Edit to say staff have been aware of huge shortfall since about february

Edited by thumperrabbit
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That sounds a bit ridiculous! Keep going till the money runs out? That's no way to run a business! You need to look at finances and have three months running costs plus the redundancy money for all the staff. Once you've taken that out of the equation you will probably find that your money has already run out!

We have had to lose a member of staff for next year, and had the conversation with all the others individually first, because, you never know, one of them might have been thinking of moving on anyway. That was back in May. Our bank balance is sorely depleted this year because we've been over ratio every morning and some afternoons. Next year will be much tighter. We is cussed reducing hours and job share, but agreed that one job should go.

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Keep going till the money runs out? That's no way to run a business! You need to look at finances and have three months running costs plus the redundancy money for all the staff.

 

Yes, this is actually included in our RAG form guidance notes.

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