Unfair process? Gone by Friday!

johnandkim

I was informed by my director last week (Wed) that our department may have to make redundancies. The next day I was told by the HR manager that it could be me.
I am the only person that does my job and the argument is that it is due to restructuring/company finances.

However, my manager and his boss have firmly advised the Director that I should be retained due to my skill set and competency and that I could fulfil a dual role, part old job, part different job. Unfortunately this would be at the expense of another colleague (much less qualified but equally paid). It would appear that the managers' protestations are being ignored.

The company is making 20+ redundancies this week after 9 days consultation. It just seems that the HR manager's attitude is "tough - on yer bike"? I will get PILON and above statutory redundancy payment but I still don't think I have been treated fairly. I will be seeing CAB asap but any advice would be gratefully received. I expect the dreaded envelope on Friday.

dickydonkin

johnandkim wrote: »

I was informed by my director last week (Wed) that our department may have to make redundancies. The next day I was told by the HR manager that it could be me.
I am the only person that does my job and the argument is that it is due to restructuring/company finances.

However, my manager and his boss have firmly advised the Director that I should be retained due to my skill set and competency and that I could fulfil a dual role, part old job, part different job. Unfortunately this would be at the expense of another colleague (much less qualified but equally paid). It would appear that the managers' protestations are being ignored.

The company is making 20+ redundancies this week after 9 days consultation. It just seems that the HR manager's attitude is "tough - on yer bike"? I will get PILON and above statutory redundancy payment but I still don't think I have been treated fairly. I will be seeing CAB asap but any advice would be gratefully received. I expect the dreaded envelope on Friday.

On the face of it, there seems to be a valid reason for redundancy and it is unfortunate that due to you being the only person performing a specific role, you are by virtue of that fact somewhat isolated and vulnerable.

I am wondering if you have the same job title as your 'less qualified' colleague which could potentially require a scored selection matrix to be adopted by your company and judging by what you have stated, your skills would likely give you a higher score in some of the selection criterion, however, as you alluded to a 'dual role' it would seem your colleague may have a different job title.

You stated that there are 20+ redundancies (after being informed last week), however, the redundancies have been confirmed after only 9 days consultation. If I have digested your post correctly, there is a likelihood that your company have not implemented the correct consultation period.

Where 20-99 redundancies are taking place within a 90 day period, there has to be a 30 day minimum MEANINGFUL consultation period and any termination notice cannot be issued before that period has lapsed.

If the consultation is genuinely completed within the minimum period (which MAY be your situation) you may be issued with a termination notice, but cannot take effect until after the minimum consultation period ends unless you agree to leave early, for example by taking pay in lieu of notice.

Are they paying your lieu of notice up to the end of the consultation period AND your entitled lieu of notice payment in relation to your years of service AFTER the date of the 30 day consultation period?

You should by now have received a breakdown of all your outstanding entitlements.

Many companies pay enhanced redundancy payments, and although this can soften the blow, I have experiences of where companies will offer extra redundancy payments on the proviso of signing a compromise agreement which waives all the rights of legal redress such as a claim for unfair dismissal.

I am always wary of enhanced payments and compromise agreements, however, it might just be my suspicious mind and your company may not require you to sign a C.A. - however, it would be surprising.

Ask yourself this question.

My company is struggling financially, but are paying enhanced redundancy payments to 20+ staff. If a compromise agreement is part of the package, they also have to pay their own solicitor to draft the document and they also have to pay the employees legal fees for that process. They legally don't have to pay enhancements, so why are they doing it?

Call me cynical, but I would suggest that they may not be undertaking the redundancy process correctly and offering incentives to expedite the process on their terms.

My former company had a redundancy policy that was completely overridden, however, the enhancements paid were too tempting to ignore and everyone signed the compromise agreement waiving their right to an employment tribunal which they certainly would have won.

If the worst happens, you can appeal against the decision citing that your redundancy can be avoided by the merging roles as you described, but I suspect your colleague would accuse the company of bumping, however, the old potato of 'the needs of the business' requiring the need to retain a skill base could be used in their defence.

I am sure others on this forum can offer more assistance and you are taking the right action by contacting the CAB, but good luck anyway.

jazzyman01

Dpassmore is correct in the comments made. However, I would add the following;

Were you given the opportunity to elect representatives to consult on the proposed redundancies?

Are they just advising those staff that might be affected by redundancy this week or will you be informed that you are going and when?

Have you been asked to sign a compromise agreement in return for the enhanced payment?

As stated there is a requirement for a minimum of 30 days consultation where more than 20 posts to go. If the Company fails to do this and short circuit this without the consent of the representatives/individuals then you and your colleagues can take the redundancy payment and then claim 90 days protective award via the employment tribunal.

johnandkim

Thanks dpassmore and jazzyman - really helpful and just gives me some confirmation of my own thoughts. Progress today is getting my manager to let me leave early to seek legal advice (which will occur tomorrow) especially as I find out that one of the ops managers was offered 2 years salary (over £100k) to go immediately (they weren't bright enough to aks him to sign a confidenciality agreement!). This made me and others suspicious that they were not following the correct procedure. It also transpires that CEO has told the directors and senior managers that they will be getting rid of 35-50 people but it would appear that they are drip feeding the terminations to keep below the 20 mark and thus not enter into the consultation process. [EMAIL="B@st@rds"]B@st@rds!!!!!![/EMAIL]

dickydonkin

johnandkim wrote: »

Thanks dpassmore and jazzyman - really helpful and just gives me some confirmation of my own thoughts. Progress today is getting my manager to let me leave early to seek legal advice (which will occur tomorrow) especially as I find out that one of the ops managers was offered 2 years salary (over £100k) to go immediately (they weren't bright enough to aks him to sign a confidenciality agreement!). This made me and others suspicious that they were not following the correct procedure. It also transpires that CEO has told the directors and senior managers that they will be getting rid of 35-50 people but it would appear that they are drip feeding the terminations to keep below the 20 mark and thus not enter into the consultation process. B@st@rds!!!!!!

Sounds just like my last employer!

You are doing the correct thing by seeking advice as I am sure you will be offered constructive information.

I suspect you have been advised to take relevant documentation with you including all correspondence and your company's redundancy policy (assuming they have one and are not using a 'ad hoc' approach to redundancy) and this action could make your company tread a little carefully - certainly in your case.

Regarding the 'drip feed' of redundancies to avoid consultation, the reality is that irrespective of the numbers of proposed redundancies, consultation HAS to take place although with less than twenty, there is no defined consultation timescale, however, individual consultation must occur nonetheless and cannot be exhausted until BOTH parties are satisfied that they have reached their conclusion - irrespective of timescale factors.

From experience, you will get rumours, hearsay, backstabbing and a general awful working environment during the redundancy process so I would not listen too much to rumours and gossip.

All you should be focusing on is your own situation. Without hard evidence, it would be futile discussing other employees situations as your company will deny it outright.

This is why many companies try to rush the procedure and get the process concluded in as little time as possible as morale is rock bottom in such situations and will invariably affect the productivity of the business.

A protracted redundancy procedure is hardly ideal for both parties, but the stark reality is that the company have to do it right and if they don't, they will have to suffer the consequences with a likely prolonged and costly defence at a tribunal some 6 months down the line, so you can understand why your company seems to be throwing money around with gay abandon to get the process concluded quickly.

Good luck anyway, and let us know what happens.