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KembaraXtra – Legal Terms – Redundancy


Redundancy in employment law occurs when an employee’s job is no longer required by the employer. Under the Employment Rights Act 1996, a dismissal is considered redundant when the employer ceases or intends to cease carrying on the business in which the employee worked. It may also arise when the business relocates and the employee’s position is no longer available at the original workplace. Another common situation is where the employer requires fewer employees to perform the same work. In such cases, the dismissal is based on the disappearance of the job rather than the conduct or performance of the employee.


Employees who are dismissed because of redundancy may be entitled to a statutory redundancy payment. To qualify, they must generally have completed at least two years of continuous employment before the effective date of termination. However, entitlement may be lost if the employer offers suitable alternative employment and the employee unreasonably refuses it. Employees are allowed a trial period of up to four weeks in the alternative role before deciding whether to accept it permanently. If the refusal is reasonable, the right to a redundancy payment is preserved.


Redundancy rights also extend to employees who are laid off or placed on short-time working arrangements. If an employee is laid off for four consecutive weeks, or for six weeks within a thirteen-week period, they may be able to claim redundancy. The employee must provide proper notice of their intention to claim a redundancy payment. An employer can avoid liability if they undertake to restore normal working hours within a specified period. These provisions protect workers from prolonged uncertainty and loss of income.


Employees facing redundancy are entitled to reasonable time off during their notice period. This time may be used to search for new employment or to undertake retraining. The law recognizes that employees need support in transitioning to new opportunities. Employers are expected to act fairly throughout the redundancy process. Failure to follow proper procedures can expose employers to legal claims.


In civil procedure, the term redundancy has a separate meaning. It refers to the inclusion of unnecessary, repetitive, or irrelevant material in a statement of case. Courts have the power to strike out redundant material to ensure clarity and efficiency in legal proceedings. Such material can unnecessarily increase costs and complicate litigation. Therefore, redundancy in pleadings is generally discouraged.

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