Collective redundancy is a term referring to the act of an employer dismissing several employees together based on the same reasons. When such a phenomenon happens in an organization, the regulating document is the Legal Notice 428 of 2002, which protects employment and gives guidelines on dealing with collective redundancy. Therefore, both employers and employees need to know what it entails to facilitate a smooth transition during the dismissal process. The law demands that the employers give written notice to a representative of the employees and a copy forwarded to the Director of the DIER.
Let us look at the provisions that should feature in the contents of the notice:
Before an organization decides to declare a group of members of staff redundant, it must have clear reasons. Consequently, the management must explain the details for collective redundancy in the notice submitted to the employees’ representatives within the seven days stipulated in the law. It could be due to gross misconduct, incompetence, violation of employment contract, or committing a criminal offense. Whatever the explanation, it should feature in the written communication. The statements are necessary to facilitate the process of outplacement for the affected employees.
Number of employees
The next relevant content of the notice is the number of employees, which falls into two categories. The first class is on the number of members of staff the organization intends to make redundant. The second class is the number of employees the company has employed. The requirement is to determine whether the employer has complied with the threshold required by law between the affected employees and the employed. Organizations with between 20 and 99 members of staff should only declare ten and more as redundant. Companies with between 100 and 299 employees should have 10 percent or more of staff terminated. Finally, institutions with employees numbering from 300 and over should terminate 30 or more staff.
Other critical details necessary include the criteria suggested for the identification of members of staff to leave the organization due to redundancy. It helps in justifying the standards used in the selection process. Secondly, the employer should give details concerning all due payments concerning the redundancy. Such payments are essential in giving the affected staff a better send off. Finally, the organization has the duty of mentioning on the written notice, the period over which the effect of the collective redundancy is to commence. Everyone facing dismissal from the organization would want to know when he/she should leave so that he/she can make plans in advance as they face their future.