Why the Redundancy Process in England and Wales Matters 

Of all the problems facing employers in the England and Wales, redundancy and dismissal support remain among the most sensitive and costly issues to manage.

Many employers are tempted to take shortcuts or overlook key steps in the redundancy process, which significantly increases the risk of employment tribunal claims.

A poorly handled redundancy consultation doesn’t just affect the employees who are leaving—it can also damage morale and trust among your remaining team.

The 5 Key Steps of the Redundancy Process – England and Wales

Note: There may be differences in the legislation that applies to Scotland and Northern Ireland

1 – Establish the Business Reason for Redundancy

Clearly define why a role is no longer required. These should be business-related reasons, such as a restructure, drop in demand, or changes in technology.

Always refer to the role, not the person. Document your rationale to remain consistent throughout the process, and provide this information in writing to all affected staff.

2 – Identify the Roles ‘At Risk of Redundancy’

Determine the ‘pool’ of employees whose roles are similar—even if job titles differ. All staff in this group should be placed at risk of redundancy.

It’s from this pool that individual selection may be made, based on objective criteria. This is a critical step in establishing fair selection criteria redundancy, which can include skills, qualifications, and attendance records.

3 – Inform Staff They Are At Risk of Redundancy

Hold an initial meeting with each affected employee to explain that their role is ‘at risk’.

Follow up in writing with a letter confirming the key points discussed, including confirmation that you are now starting the consultation period for proposed redundancy..

Understanding the redundancy rights that employees in England and Wales are entitled to at this stage is essential—these include the right to consultation, fair treatment, and notice.

4 – Hold Formal Redundancy Consultation Meetings

A fair redundancy consultation typically requires at least three meetings.

If more than one employee is in the pool, you must apply fair selection criteria. If there is only one person doing the role then selection criteria will not be necessary.

Where 20 or more roles are at risk, collective consultation is required under UK law, and must involve a recognised trade union or elected employee representatives. This formal collective consultation period has specific legal timeframes you must adhere to.

5 – Explore Alternatives to Redundancy

Have you fully explored ways to avoid redundancy? This may include offering suitable alternative employment, job shares, or part-time options.

Avoiding redundancy where possible not only protects employee livelihoods but can also reduce business disruption and cost.

Why Follow a Fair Redundancy Procedure?

Following a correct process isn’t just about compliance—it’s a legal requirement.

It demonstrates to employees that you’re making every effort to avoid unnecessary job losses, and can protect your business from costly tribunal claims.

Consultation also gives employees the opportunity to suggest solutions you may not have considered.

Meeting your obligations under HR and employment law advice ensures you’re handling the situation lawfully and respectfully.

How Long Does the Redundancy Process Take?

The timeline varies depending on how many people are affected:

• For a single employee, a redundancy process in the UK can be completed in as little as two weeks.
• For 20 or more proposed redundancies, collective consultation must last at least 30 days, and longer if you have over 100 proposed redundancies.

You’ll also need to factor in the notice period for redundancy, which depends on each employee’s length of service. ‘Statutory notice is one week for each full year of service, up to 12 weeks, but you should check the employee’s contract, as it may state a longer notice period.

Every case is unique, and factors such as business size, employee contracts, and consultation feedback can all influence the duration.

Need Help With a Redundancy Process?

At Ward Williams HR, we provide expert guidance tailored to your business, including legally compliant letters, consultation templates, and step-by-step support

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