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Managing redundancies and restructuring in the downturn

As the Chartered Institute for Personnel and Development (CIPD) predicts a further 120,000 jobs will be lost in 2012, workplace relations look set to be tested to the limit. However, being able to manage redundancies and restructuring in a constructive and positive manner puts organisations in a strong position for recovery.

The threat of redundancies can cause serious disruption to an organisation, damaging morale and productivity and putting a strain on working relations. Good communication between management and staff is essential to ease the pain and minimise operational disruption. Proper consultation and planning at such a time can help keep staff engaged and prepare the way forward for recovery.

When managing redundancies, it's essential for employers to ensure that they comply with the law to avoid tribunal claims later for unfair dismissal. When an employer proposes to make 20 or more employees redundant over a period of 90 days or less, they are obliged by law to consult both unions and individual employees and draw up a formal redundancy procedure. Employers also need to check whether any staff are legally entitled to redundancy payments.

Acas provides training to help organisations through the upheaval of redundancies and restructuring situation. Acas also offers business solutions to help employers understand what needs to be done to address a range of issues related to redundancy and notice and develop practical solutions.

Visit the Acas training and business solutions area for more information.

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