Dwyer Durack understands that redundancy can be difficult for both employees and employers. We have extensive experience in advising both businesses and employees about their redundancy rights and can therefore provide you with practical and cost effective advice and representation.
A redundancy is when an employee is dismissed from their employment because their employer no longer wishes the employee’s role to be done by anyone, because of operational changes or insolvency.
During the redundancy period it is important that correct procedures are followed by an employer. If an employer does not follow such correct procedures, then this can give the employee rights to lodge an unfair dismissal claim in the Fair Work Commission
For example, employers are under an obligation to see if they can find alternative work for employees before making a final decision on redundancy. In addition, employers are required to give employees notice before any redundancy occurs. This is known as consultation and provides an opportunity for an employee to be consulted and fully informed before the employer makes a final decision. This consultation will also allow an employee the time to prepare for the potential redundancy, both mentally and financially.
The following employees are not entitled to redundancy:
- casual employees;
- probationary employees;
- apprentices and trainees;
- employees terminated for serious misconduct;
- employees engaged for a specified period of time or for a specified task;
- employees who have less than 12 months’ continuous service; and
- employees working for a "small business employer".
The calculation of entitlements upon termination of employment by redundancy is calculated according to the length of time that the employee was continuously employed by their employer, which is in addition to contractual entitlements.
If you have any queries or seek advice regarding redundancy, please contact our Employment Law department today.