Many thanks for your patience. You do not need a contract to be made redundant – redundancy can occur at any time and without a contract in place. So the lack of that document would not halt any proposed redundancy process. All the employer has to do is show that there is a genuine redundancy situation and follow a fair redundancy procedure.
According to the Employment Rights Act 1996, redundancy occurs in the following circumstances:
1. Business closure – where the whole of the employer’s business is closed
2. Workplace closure – closure or relocation of the location where the employee worked
3. Reduced requirement for employees to carry out work of a particular kind
Generally, redundancy occurs when an employer decides to reduce the number of its employees, either within the business as a whole, or within a particular site, business unit, function or job role. There are various reasons why this may happen, 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 one of the statutory definition of redundancy above.
So as long as the employer can show that their situation fell within one of the definitions of redundancy, the test will be satisfied and the focus then shifts on the remainder of the redundancy procedure. This would look at how the employer consulted with employees, whether any suitable alternative employment was offered to those at risk and the general fairness of the redundancy procedure applied by the employer.
Does this answer your query?