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Ben Jones
Ben Jones, UK Lawyer
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Am I being made redundant? Company A provides IT services to Company . Some of these

Resolved Question:

Am I being made redundant?
Company A provides IT services to Company B.
Some of these services are provided by Company C under contract to Company A (outsourced)
I work for Company A, Managing the relationship between Company A and Company C.
Company A is restructuring how it provides services to Company B
Other towers/teams within company A are taking over the management of the relationship between companies A & C - my former role. I have been told my role nolonger exists
Am I being made redundant, is there a legal consultation process my employer Company A should be following.
My employer Company A is nudging me to apply for other roles within Company A.
I have had no formal communication on what is happening, I believe they want me to just "move along to a new role"
Submitted: 1 year ago.
Category: Law
Expert:  Ben Jones replied 1 year ago.
How long have you worked there?
Customer: replied 1 year ago.
10+ years
Expert:  Ben Jones replied 1 year ago.
Apologies for not getting back to you sooner, I experienced some temporary connection issues and could not get back on the site until now. All appears to be resolved now so I can continue dealing with your query. The term 'redundancy' is used to describe a situation in which an employer decides to reduce the number of its employees. There are various reasons as to why redundancies may be required, such as economic pressure, changes in the nature of products/services offered, internal reorganisation, workplace relocation, etc. The reason for the proposed redundancies will rarely be challenged and the employer will simply have to justify that the actual reason satisfied the statutory definition of a redundancy, which can be found in The Employment Rights Act 1996: 1. Business closure – where the whole of the employer’s business is closed2. Workplace closure – closure or relocation of one or more sites3. Reduced requirement for employees to carry out work of a particular kind (this is where many employees get confused as they believe a job has to actually disappear for them to be made redundant). The third reason above creates the most challenges and which is likely to apply here. Examples of when there is a reduced requirement to do work of a particular kind are:· The same amount of work remains but fewer employees are needed to do it. This includes consolidating some of its jobs (e.g. spreading out certain jobs amongst existing employees).· There is less work of a particular kind and fewer employees are needed to do it (both the work and the headcount shrink)· There is less work of a particular kind, but the same number of employees are required overall. So as long as the employer can show that their situation fell within one of the accepted reasons for declaring a redundancy, the test will be satisfied and the focus then shifts on the remainder of the redundancy procedure. This would include what consultation took place, whether any suitable alternative employment was offered to those at risk and the general fairness of the redundancy procedure applied by the employer. This is your basic legal position. I have more detailed advice for you in terms of the requirements on an employer in the event of redundancy and what you can expect from them at this stage, which I wish to discuss so please take a second to leave a positive rating for the service so far (by selecting 3, 4 or 5 stars) and I can continue with that and answer any further questions you may have. Don’t worry, leaving a rating will not close the question and we can continue this discussion. Thank you
Expert:  Ben Jones replied 1 year ago.
Hello, I see you have read my response to your query. Please let me know if this has answered your original question and if you need me to discuss the next steps in more detail In the meantime please take a second to leave a positive rating by selecting 3, 4 or 5 starts from the top of the page. The question will not close and I can continue with my advice as discussed. Thank you
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Expert:  Ben Jones replied 1 year ago.
Thank you. First of all the employer needs to consult with you to discuss the reasons for redundancy and try to find alternatives. Generally, an employer has a duty to offer those employees at risk any suitable alternative employment (“SAE”) that may exist at the time. The objective is to keep the employee in a job rather than make them redundant. Therefore, if an employee accepts an offer of SAE, their employment will continue in the new position and they would lose their entitlement to a redundancy payment. If the offer is considered unsuitable and the employee refuses it, they will be made redundant and still receive redundancy pay. However, if the offer was suitable and the employee unreasonably refuses it, they would effectively be resigning and will lose their entitlement to redundancy pay. So the main issue is what makes an offer suitable and when can an employee reasonably refuse it. The most common factors that would make an offer unsuitable are:· Job content/status – drop in status, substantial changes in duties, etc.· Pay and other benefits – significant drop in earnings/benefits (e.g. basic pay, bonuses, overtime, sick pay, holidays)· Working hours – change in shift pattern, removal of overtime, extension/reduction of working hours· Change of workplace – new location making it unreasonable to travel to the new place of work· Job prospects – going from permanent to temporary work, becoming self-employed or being employed on a fixed-term contract. Where an offer of alternative employment has been made and its terms and conditions are different to the employee's current terms, they have the right to a 4-week trial period. If during the trial period they decide that the job is not suitable they should tell their employer straight away. This will not affect their employment rights, including the right to receive statutory redundancy pay. So it is important to consider whether any offer that has been made is suitable or if there are reasonable grounds to treat it as unsuitable and safely reject it, opting for redundancy instead.