The document discusses redundancy, which refers to terminating employees for business reasons like poor economic conditions. It defines redundancy and outlines common reasons for it like new technology, cost cutting, or business closure. The document also covers types of redundancy (voluntary or compulsory), selection criteria, the legal process, and debates whether redundancy is good or bad for employees and businesses.

1. Redundancy
Presented By
Kashif Hussain

2. Contents
Introduction
Types of Redundancy
Common Reasons for Redundancy
Redundancy Selection Criteria
Process of Redundancy
Redundancy Is it Good or Bad?

3. Introduction to Redundancy

4. Introduction
• Termination of employees for business reasons, such as poor
economic conditions.
• Redundancy is when an employer reduces their workforce because
a job or jobs are no longer needed. However, if you lose your job
and they get someone in to fill it that is NOT a redundancy.

5. Types of Redundancy
• Voluntary redundancy takes place when the company, wishing to
downsize workforce, offers it to all employees and those who wish
to leave opt for it.
• Compulsory redundancy is a situation where company decides on
its own which are the employees it wishes to leave.

6. Common Reasons For Redundancy
• New technology has made your job unnecessary
• The job you were hired to do no longer exists
• Your employer needs to cut costs by reducing staff numbers
• The business is closing down or moving
• The business has been bought by another company
• Change in economic conditions

7. Redundancy selections criteria
• Attendance record
• Disciplinary record
• Skills or experience
• Standard of work performance
• Successes at work – or lack of them
• LIFO

8. Process of Redundancy
• Selection- Who should be chosen for redundancy?
• Consultation
• Suitable alternative employment
• Minimum statutory dismissal procedures
• Redundancy Pay

9. Is it Good? How
• Clean Break between employer and employee
• Politically Acceptable (Voluntary Redundancy)
• People who want to change their Jobs
• Business in trouble, Better to leave
• Stress of Work
• Exciting Opportunities Outside
• New research suggests that redundancy can "jolt" people into
happier, more fulfilled lives.

10. Cont.…..
• Receive Redundancy Payment and Start your own business or make
a living
• No one Can make you Redundant
• The end of something why not a new beginning

11. Is it Bad? How?
• Needs Formal and strictly Implemented process
• Instability or hurdle in smooth operations
• Increase in Unemployment
• Affects on family of Employee
• Consultation and negotiation a time consuming process
• Significant Competition of Jobs
• Poor performance and lack of loyalty
• Damaging effect on corporate performance and culture
• Why not stay and seek then going for voluntary redundancy
• Off the work, become dump.
• Do not leave at the beginning of your career.

12. Conclusion
• Despite all the pros and cons Redundancy is a fact of life although
it looks an ugly Corporate word but it can lead to a new beginning
of your Career.
• Being Redundant does not mean that there is something wrong
with your abilities and skills rather it is mostly done for business
reasons
• No one can make you redundant of Your abilities, skills,
experience etc.
• When balancing these issues, you need to honestly assess your own
value to the business.

13. References
• HRZONE(2015) What is Redundancy [Online] Available From: http://www.hrzone.com/hr-
glossary/what-is-redundancy [Accessed: October 15, 2015]
• New Zealand at Work (2015) Redundancy [Online] Available From:
http://employment.govt.nz/er/solvingproblems/resolving/redundancy.asp [Accessed:
October 9, 2015]
• Jobsite (2015) Redundancy [Online] Available From: http://www.jobsite.co.uk/cgi-
bin/bulletin_search.cgi?act=da&aid=2501 [Accessed: October 9, 2015]
• Fair Work (2015) Redundancy [Online] Available From:
https://www.fairwork.gov.au/ending-employment/redundancy [Accessed: October 9]
• The Sydney Morning Herald A redundancy doesn't have to be a bad thing [Online]
http://www.smh.com.au/business/a-redundancy-doesnt-have-to-be-a-bad-thing-
20140928-10n726.html [Accessed: October 12, 2015]

14. Cont.…
• CNN (2015) Lose your job, find yourself: Why redundancy might not be so bad
[Online] Available from: http://edition.cnn.com/2012/02/28/business/lay-off-
authenticity/index.html [Accessed: October 15, 2015]
• The Law Donut (2015) Redundancy [Online] Available From:
http://www.lawdonut.co.uk/law/employment-law/dismissals-and-
redundancies/redundancy [Accessed: October 16, 2015]
• Total Jobs (2015) What is Redundancy [Online] Available From:
http://www.totaljobs.com/careers-advice/redundant/what-is-redundancy
[Accessed: October 15, 2015]
• Life hacker (2015) Ask LH: What Are The Pros And Cons Of Taking Redundancy?
[Online] Available From: http://www.lifehacker.com.au/2013/11/ask-lh-what-
are-the-pros-and-cons-of-taking-redundancy/ [Accessed: October 15 ]

15. Cont.
• IFSEC Global (2015) Redundancy: the potential pitfalls [Online] Available From:
http://www.ifsecglobal.com/redundancy-the-potential-pitfalls/ [Accessed:
October 15, 2015]
• Redundancy Expert (2015) A Guide to the Redundancy Process [Online] Available
From: http://www.redundancyexpert.co.uk/guide-redundancy-process.html
[Accessed: October 15, 2015]
• GAPHR Services (2015) Redundancy – Putting a positive spin on bad news
[Online] Available From: http://www.gaphr.co.uk/redundancy-putting-a-
positive-spin-on-bad-news [Accessed: October 15, 2015]