by Clare Lassiter, BA (Hons), Chartered MCIPD, PGDip
Senior HR Consultant
Did you know that, if your organisation is planning a high number of redundancies, it has to abide by more specific rules than if just a handful of roles are at risk?
If 20 or more roles within a single establishment are proposed for redundancy within a 90 day period, the employer is obliged to undertake a collective consultation for redundancy.
Collective Consultation for Redundancy? What does that actually mean in practice?
The collective consultation rules (covered by the Trade Union and Labour Relations (Consolidation) Act 1992) state that you must advise the Redundancy Payments Service (RPS – a government body) about your planned redundancies at least 30 days before the first dismissal, for 20-99 redundancies, and a minimum of 45 days before if there are 100 or more. Fines apply if you do not adhere to these requirements for large scale redundancy consultation.
And there is a process to follow. You need to consult employees and their representatives within a prescribed time period (at least 30 days before the proposed date of any redundancy for 20-99 redundancies, and a minimum of 45 days in the case of 100+ redundancies).
What does the process involve?
Identify the appropriate representatives, provide the required information in writing and consult with a view to reaching agreement about avoiding dismissals, reducing numbers and lessening the impact.
Give the representatives enough time and information to respond, consider their proposals and record your replies.
Also meet affected employees individually about their own circumstances.
Do not issue individual redundancy notices before consultation has finished.
Notify the Redundancy Payments Service using HR1 within the statutory lead time.
Return to the employer redundancy hub
Do we have to ensure that the collective consultation was genuine?
Collective consultation for redundancy should be a genuine exercise in discussing the proposals, as well as demonstrating that you tried to reach an agreement.
What happens if collective consultation is missed?
For dismissals from 6 April 2026, an employment tribunal can make a protective award of up to 180 days’ full pay for each affected employee if the employer fails to meet the collective consultation duty. Employees do not need two years’ service to qualify for this award. Failing to notify the government using HR1 is a separate matter and can lead to an unlimited fine.
So it is in your best interest to follow due process. And there will be two phases: collective consultation and then individual consultation. For the former, you will either need to work with any recognised trade union or, if there is none, elected employee representatives.
Need help with your collective consultation for redundancy?
We at Pure Human Resources can guide you at every step, whether it be light touch advice or full attendance and documentation provision, or somewhere in between.
