Redundancy and retrenchment

All Topics

• What are redundancy and retrenchment?
  When a position becomes redundant, you may need to terminate the employment of the employee in that role, i.e. retrench them.
  Mar 07, 2020

• When is a redundancy genuine?
  For a redundancy to be genuine, it must meet the requirements set out in the Fair Work Act 2009 (Cth).
  Mar 07, 2020

• Redundancy due to operational changes
  A redundancy can occur due to operational requirements of the business.
  Mar 07, 2020

• What if the role is still required?
  You cannot use redundancy as an excuse to get rid of an underperforming employee.
  Mar 07, 2020

• Complying with consultation requirements
  For a redundancy to be genuine, you must comply with any provisions that provide for consultation.
  Mar 07, 2020

• Consultation under modern awards
  If you are a national system employer covered by a modern award, you are required to consult with affected employees (and their representatives) about business decisions that might lead to redundancies.
  Mar 07, 2020

• Consultation under enterprise agreements
  An enterprise agreement must include a term that requires you to consult employees about major workplace changes that are likely to significantly affect them.
  Mar 07, 2020

• How to meet your consultation obligations
  There are two key things you must do to meet your consultation obligations in relation to redundancies.
  Mar 07, 2020

• Redeployment
  You have an obligation to consider redeployment options for an employee in a redundant role.
  Mar 07, 2020

• When is redeployment reasonable?
  For redeployment to be reasonable, the employee must have the requisite skills and competence to perform the vacant role.
  Mar 07, 2020

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