The world in business, particularly when it applies to people, is constantly changing. The way you have run your business one day may change the next day because of equality and diversity legislation. If your business is in a decline mode, you may need to think about cutting staff in order to survive. Before acting, you should review the relevant employment contracts and handbooks to confirm they have an up-to-date statement of your company's redundancy policies. If you have spoken with a business owner who was compelled to employ obligatory redundancies, you will have quickly realized exactly how complicated it is when your knowledge of facts is deficient.
When there's a downturn, the best thing is to take care of your business and its employees first. When planning a redundancy program, an employer will have to be in compliance with certain legal procedures. For instance, an employer is okay making a staff member redundant if the business is closing or if the job the employee fills isn't required anymore. When an employer lays off 20 or more employees during any 90 day time period, he must have a consultation with a human resources manager or with those who were terminated.
Temporary layoffs can be used by employers before resorting to redundancy. It has to be for a set period of time and you have to realize that an employee could possibly claim redundancy if that time period is exceeded. Another good way to boost morale is to let employees choose their own hours.
Flexible hours allows an employer to continue to utilize the skills of loyal employees through job sharing, part-time hours or term-time working. The employees might be okay with this and realize that times are hard and there is a need to cut back. Another flexible option could be to allow some employees the option to work from their home, which will help cut down of office expenses.
As an employer, you must give an employee a notice period, and you should give your employees on the "redundancies" list one week's pay for every year they worked up to twelve weeks. Anything received under £30,000 is tax free for your employees. Additionally, if your employees receive a lump sum, as their employer, you should be encouraging that they place some of it in a pension plan. We recommend that redundant individuals be given the option of working with an outplacement counselor who is sponsored by the company.
When there's a downturn, the best thing is to take care of your business and its employees first. When planning a redundancy program, an employer will have to be in compliance with certain legal procedures. For instance, an employer is okay making a staff member redundant if the business is closing or if the job the employee fills isn't required anymore. When an employer lays off 20 or more employees during any 90 day time period, he must have a consultation with a human resources manager or with those who were terminated.
Temporary layoffs can be used by employers before resorting to redundancy. It has to be for a set period of time and you have to realize that an employee could possibly claim redundancy if that time period is exceeded. Another good way to boost morale is to let employees choose their own hours.
Flexible hours allows an employer to continue to utilize the skills of loyal employees through job sharing, part-time hours or term-time working. The employees might be okay with this and realize that times are hard and there is a need to cut back. Another flexible option could be to allow some employees the option to work from their home, which will help cut down of office expenses.
As an employer, you must give an employee a notice period, and you should give your employees on the "redundancies" list one week's pay for every year they worked up to twelve weeks. Anything received under £30,000 is tax free for your employees. Additionally, if your employees receive a lump sum, as their employer, you should be encouraging that they place some of it in a pension plan. We recommend that redundant individuals be given the option of working with an outplacement counselor who is sponsored by the company.
No comments:
Post a Comment