Almost a third of employers are likely to make staff redundancies over the next year, new research suggests. A survey of more than 1,000 businesses about their redundancy plans in the next 12 months found that larger firms were more likely to be laying staff off.
The conciliation service Acas, which conducted the survey, said some businesses were facing tough challenges. Chief executive Susan Clews said: “Our findings show that large organisations are more likely to make redundancies than smaller organisations that employ less than 250 employees.
“Acas advice for bosses is to exhaust all possible alternatives to redundancies first, but if employers feel like they have no choice then they must follow the law in this area or they could be subject to a costly legal process.” If an employer finds there are no other choices than to make redundancies then there are strict rules on consulting staff that they must follow, said Acas.
An employer must discuss any planned changes and consult with each employee who could be affected, which includes staff who may not be losing their jobs but will be impacted. The minimum consultation period varies depending on the number of employees that an employer wishes to make redundant.
By law, employers who wish to make 20 or more staff redundant over any three-month period must also consult a recognised trade union or elected employee representatives about the proposed changes. For 20-99 redundancies, consultation must start at least 30 days before the first dismissal can take effect, and for 100 or more redundancies, it has to start at least 45 days before.
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For fewer than 20 redundancies, there is no set time period but the length of consultation must be reasonable, Acas said.
