FEATURE changes to your workforce . From May to July 2022 , Citation received 2,800 calls from employers seeking redundancy advice and from August to October 2022 , this figure rose 7 % to 3,000 .
However , always make sure you ’ re considering the alternatives to redundancy before you start redundancy procedures . There ’ s a chance that , depending on your situation , redundancy could leave you in a worse position in the long run – for example , being short-staffed post-recession when demand picks back up again .
Situation-dependent , you could consider restructuring , layoffs , altering your terms and conditions and voluntary changes .
Tribunal claims tend to raise during economic turmoil
If recessions weren ' t already hard enough on your business , claims tend to go up during this time .
It ’ s easy – especially if you ’ re a small business owner – to assume that an employee will never , ever bring an employment tribunal claim against you . After all , you probably know all your employees personally and maybe you see them socially outside of work or know their family or have helped them through tough times . And you may be right . But , sadly , there ’ s always the risk of facing a claim – and they can come from unexpected places .
So , you need to be prepared . To avoid lost productivity , damage to your reputation , stress and anxiety , and , of course , the financial loss of a successful claim , there are a few things you need to consider :
• Think back to the last employee issue in your company and how it was handled
• Be aware of the processes and policies for employees leaving the business , making a formal grievance and how to prevent the financial impact on your business
• Ensure recruitment policies are up to date and comply with Employment Law legislation
• Know who you would turn to if an employee took you to a tribunal and how you would manage it
Gill McAteer , Director of Employment Law at Citation , said : “ A recession poses lots of uncertainty both for employers and employees . Rather than waiting for it to hit , take proactive steps to be ahead of the curve and recessionproof your business . Also , as we know there are more tribunal claims than usual during this period so be aware of the ways that you can stay on top of and prevent potential claims .” x
Gill McAteer , Director of Employment Law at Citation www . intelligentcxo . com
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