In human resources, redundancy is defined as the elimination of one or more positions due to organizational restructuring, downsizing, or a change in business needs. Redundancy can also occur when an employee’s skills are no longer required by the company or when their role is no longer needed.

In any redundancy situation, it is important to remember that people are affected. Redundancy can have a significant impact on an individual’s wellbeing, career, and finances.

When announcing a redundancy, employers should be as sensitive as possible. It is a difficult time for those who are affected and clear communication is vital. Employees should be given as much notice as possible and be given the opportunity to ask questions and express their concerns.

There are a number of different ways to manage redundancy. The most important thing is to act fairly and consistently.

The options available will depend on the individual circumstances but may include:

• Voluntary redundancy: Employees may be offered the opportunity to take voluntary redundancy. This is usually where there are a number of roles being made redundant and employees are given the opportunity to apply for voluntary redundancy.
• Compulsory redundancy: This is where an employee’s role is made redundant and they are selected for redundancy through a fair selection process.
• Redeployment: Where possible, employers should look at redeploying employees to other roles within the company before making them redundant.
• Retraining: Employees may be given the opportunity to retrain for another role within the company.
• Support: Employees who are affected by redundancy should be given support. This may include access to outplacement services, financial advice, and counseling.

Redundancy can be a difficult time for everyone involved. However, by following a fair and consistent process, employers can minimize the impact and help employees to move on to new opportunities.