Did you know that as an employer, you may have an obligation to consult employees about redundancies? in fact, all enterprise agreements and modern awards contain a clause that requires you to inform your staff before any major workplace changes that are likely to affect them are implemented. This will, of course, include redundancies.
This obligation can arise under employment contracts, enterprise agreements or modern awards. If you fail to meet your requirement to consult, you may be putting yourself at serious legal risks. It is not considered a genuine redundancy if you fail to consult with your employee prior to his/her retrenchment, therefore the genuine redundancy exemption will not apply. This poses as a problem for you, as the retrenched employee will be eligible to apply to the fair work commission for a solution in regards to their alleged unfair dismissal.
This can be avoided with smart advice from a lawyer or solicitor like glenn duker and a different outcome can be reached if you comply with the consultation obligations. For example, if you had consulted with your employee and have made them redundant due to operational requirements in the same time frame, the fair work commission is unlikely to rule that the dismissal was harsh, unfair or unreasonable.
Your risk and exposure to an unfair dismissal claim depends on whether the employee in question has any relevant information that could lead to his/her avoiding retrenchment. This may include ideas about redeployment or clarifying some misconception regarding their selection for redundancy.
For more detailed information of if you need any assistance with this matter, please contact glenn duker lawyer and solicitor a specialist you can rely on at: http://glennduker.com.au/
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