Redundancy

Redundancy

Small firms offered free redundancy guidance

Small–business owners can access free advice on managing redundancies, following the launch of a new guide from the Equality and Human Rights Commission. ‘The guide to redundancy’ is aimed at small firms that may not have access to in–house professional HR advice and contains information on the various legal issues surrounding redundancy, such as discrimination. It also contains guidance on alternatives to laying off staff such as introducing flexible working and job shares. Equality and Human Rights Commission chief executive Nicola Brewer said: “We recognise that the law around equality and discrimination can be confusing and intimidating for people who don’t have a human resource specialist,” “Our research with small businesses tells us th... »

Redundancy

Employers take steps to avoid Redundancies

Businesses are avoiding redundancies by putting a hold on recruitment and cutting back on agency workers, according to the Chartered Institute of Personnel and Development (CIPD). A survey of nearly 900 businesses, carried out by the CIPD and accountancy firm KPMG, revealed that 50% have brought in a recruitment freeze, while 44% have terminated temporary or agency workers contracts to prevent making cutbacks to in–house staff. CIPD public policy adviser, Gerwyn Davies said: “Measures such as recruitment freezes, shedding temporary workers and introducing short–term working are clearly not without pain, but they can often be preferable to redundancies” “There can be a high cost to making staff redundant, as letting skilled staff go can risk low morale among th... »

Redundancy

Redundancy a Costly Solution to Recession woes

Redundancy is not necessarily the best money–saving solution for recession–hit firms — costing businesses up to £16,375 per employee laid off, the Chartered Institute of Personnel and Development(CIPD) has claimed. The direct cost of redundancies for employers is typically between £10,575 and £16,375 per employee laid off — this includes redundancy payments, the need to create new job positions and recruiting for these roles. This calculation comes amid predictions that many businesses will be forced to make redundancies this year in an attempt to cut costs and survive the recession. CIPD chief economist John Philpott said: “While making people redundant can seem one of the most straightforward ways of cutting costs, redundancy is itself a si... »

Redundancy – A Costly Solution to Economic Slowdown

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