The subject for the most recent Wote Street People Peer Mentoring Group session was ‘Redundancy & Exiting’. The topic is timely as predictions of recession usually lead to organisations making redundancies.

Redundancy refers to the process of dismissing employees from their jobs due to reasons such as downsizing, restructuring, or the closure of a business. In the UK, redundancy is governed by the Employment Rights Act 1996, which sets out the procedures that employers must follow when making employees redundant.

It’s the role, not the person being made redundant

Some organisations may be hasty in making redundancies, only to rehire the role a few months further down the line. Not only has an employee had to go through a challenging process, but the morale of the team can take a nose-dive.

That’s why it is paramount to treat each employee facing redundancy with dignity and offer them support such as outplacement services , career coaching and mental health assistance. Adding the human touch will strengthen your organisation’s branding because people will feel cared for and will tell others about their experience.

Generally speaking, larger organisations with HR departments tend to weather the redundancy storm better than SMEs with no HR professionals. SMEs in particular can be vulnerable to discrimination or unfair dismissal claims if they’re unable to adequately prove that the role is redundant rather than the person.

Investment in HR professionals can actually save organisations money in the long run, so it’s sensible to employ a HR manager or use a HR consultant.

Re-deploy where possible

Large organisations may be able to move those facing redundancy into vacant roles in other departments. This can often be a great opportunity for the employee to progress their career. It’s also a win for the organisation as it gets to keep an experienced member of staff in the business.

This scenario also gives the employee a new purpose.  It could include more training and lead to greater things for both employee and the organisation.

The affect of hybrid working on company structure

The pandemic proved that employees were productive working at home. They didn’t need to be in an office to complete their tasks and meet deadlines. While hybrid working environments are a big win for work/life balance, the downside is that some large multi-nationals saw an opportunity to move the work to another country where workers’ wages are lower compared to the UK. Whole departments can be made redundant at the same time.

Hiring cheaper labour in other countries also impacts the native economy as the organisations there are unable to compete with the comparative higher rates of pay and attract top talent.

Next session is on Wednesday 22nd March 2023 and the topic is ‘Onboarding’. This is a favourite rant of the recruiter, especially where rebates apply. Why should they underwrite a client’s onboarding process? It’s also a make-or-break time for the candidate; working out who’s friend or foe. It’s a critical time for your brand too.

 If you’d like to join Wote Street People’s online peer group bimonthly (every two months), give Maxine a call on 01256 236997 or email to receive the Zoom invitation.

All peer group mentoring sessions are confidential and free to attend. It’s a safe space to ask those questions that you may feel awkward asking a colleague. Chatam House Rule applies.