10 Common Redundancy Mistakes Employers Should Avoid

A genuine need to reduce work does not remove the need for a fair process. These are ten common risks, primarily under Great Britain rules; Northern Ireland law should be checked separately.

  1. Using redundancy for a performance issue. Establish whether the requirement for employees to do particular work has diminished, or there is a relevant closure. Deal with individual performance or conduct through the appropriate process instead.

  2. Predetermining the outcome. Explain proposals, consult while alternatives can still be considered and keep a record of responses.

  3. Picking an artificial selection pool. Consider who does similar or interchangeable work and document the reasoning for the pool; there is no universal pool size.

  4. Using unsupported selection scores. Prefer evidence-based criteria, apply them consistently and allow employees to question provisional scores. Check for discriminatory effects, including disability and family-leave issues.

  5. Missing discrimination risks. Adjust criteria and processes where required, including reasonable adjustments for disabled staff; investigate pregnancy-related or other protected absences carefully.

  6. Treating individual consultation as a presentation. Discuss the rationale, proposed selection, scores, alternatives and employee suggestions before a final decision. There is no fixed statutory length for individual consultation.

  7. Miscounting collective consultation. In GB, proposing at least 20 redundancies at one establishment over 90 days normally triggers consultation with representatives; minimum periods before the first dismissal are 30 days (20–99) and 45 days (100+). From 6 April 2026, a GB protective award for failure to consult can be up to 180 days' pay per affected employee. Do not add a blanket 25% Code uplift to claim a 225-day redundancy award: the dismissal/re-engagement Code is not a general redundancy rule. Check NI obligations independently.

  8. Missing suitable alternative work. Identify and discuss suitable vacancies, including across an employing organisation where relevant; suitability and reasonable refusal are fact-specific. A statutory trial period may apply.

  9. Overlooking priority for certain parents. In GB, eligible pregnant employees and some employees following maternity, adoption or shared parental leave have priority for a suitable alternative vacancy during defined periods. Paternity leave alone does not create the same priority; NI has different rules.

  10. Assuming low risk. Check notice, statutory or contractual redundancy pay, collective information and notification duties, discrimination, TUPE where relevant, and applicable tribunal deadlines. The Employment Rights Act 2025 has staged commencements; do not treat future provisions as current law.

👉 Employer guidance: https://myredundancyrights.co.uk/employer

Official guidance: Acas managing redundancies; Acas collective consultation; Acas alternative employment; Acas reform timetable.