| 
Understanding Redundancy
Redundancy can take place when an employer needs to reduce their workforce due to various reasons such as company restructuring, economic downturns, or technological advancements. For employees, facing redundancy can be a challenging and stressful experience. Bermans is here to provide you with expert legal advice and support you throughout the redundancy process.
Legal Definition of Redundancy
In the UK, redundancy is legally defined under the Employment Rights Act 1996. It is considered redundancy if:
- Your employer ceases to carry on the business for which you were employed.
- Your employer ceases to carry out work at the place where you were employed.
- The need for employees to do work of a particular kind ceases or reduces.
Your Rights During Redundancy
As an employee, you are entitled to certain rights and protections during the redundancy process. These include:
Consultation
Your employer must consult with you before making you redundant. This involves discussing the reasons for redundancy, exploring possible alternatives, and considering your feedback. If your employer fails to consult, you may have grounds for a claim of unfair dismissal.
Notice Period
As a minimum, you are entitled to a statutory notice period based on your length of service:
- One week’s notice if you have been employed between one month and two years.
- One week’s notice for each year of employment between two and twelve years.
- Twelve weeks’ notice if you have been employed for twelve years or more.
Alternatively, your employment contract may specify a longer notice period which you are entitled to.
Redundancy Pay
If you have been continuously employed for at least two years, you are entitled to statutory redundancy pay, which is calculated based on your age, length of service, and weekly pay. The current rates (as of 2025) are calculated in accordance with the below:
- Half a week’s pay for each full year of employment completed whilst under 22.
- One week’s pay for each full year of employment completed whilst 22 or older but under 41.
- One and a half week’s pay for each full year of employment completed whilst 41 or older.
As of the 6th April 2025, the maximum statutory pay for a week is capped at £719, and the maximum statutory redundancy pay is £21,570.
You may also be entitled to enhanced contractual redundancy pay.
Challenging Unfair Redundancy
If you believe that your redundancy was unfair, you have the right to challenge it. Grounds for unfair redundancy may include:
- Failure to follow a fair redundancy process.
- Failure to consult in relation to the redundancy.
- Unfair selection criteria or discrimination.
- No genuine need for redundancy.
- Alternative employment was not considered.
How Bermans can help
Bermans offers comprehensive legal support and resources to help you navigate the redundancy process:
- Free Initial Consultation: Discuss your situation with our experienced employment lawyers and receive tailored advice.
- Document Review: Get a professional review and advice on redundancy notices & documents, redundancy packages, and settlement agreements.
- Representation: Receive expert representation in negotiations and Employment Tribunal claims.
Contact Us
If you are facing redundancy and need legal advice, don’t hesitate to contact us. Our dedicated team of employment lawyers are here to guide you every step of the way.