Compromise Agreement During Redundancy Settlement

When the economy is in trouble, redundancies are quite common. Despite economic difficulties, many employers choose to reduce staff and streamline operations even in times of good economy. Many employees could be made redundant if a company reorganizes itself or is acquired by another company. As an employee, it is important to understand the redundancy adjustment rights.

redundancy settlement

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Redundancy under statutory law is not synonymous with being fired. This is a common misconception. Redundancy occurs when a job is lost or the employer terminates your employment contract. Dismissal can be fair or unjust, employers should be honest about the process and the reasons for firing you. Redundancy occurs when an employer reduces its workforce. 

Redundancy is usually triggered by the loss of a job. You may have lost your job or the quality of the work you do. This may not be your fault. Your dismissal could be due to statutory redundancy. The employer should make sure that you are treated fairly in such cases. Your job could be made redundant in the current economic climate.

It is important to know your rights if your job is being affected by any redundancy. To ensure that you have time to consider other options, both you and your employer must have notified you and consulted you before you are affected. The reasons for your redundancy must be stated clearly.