Collective redundancy—the triggers for the statutory consultation obligations
Collective redundancy—the triggers for the statutory consultation obligations

The following Employment guidance note provides comprehensive and up to date legal information covering:

  • Collective redundancy—the triggers for the statutory consultation obligations
  • Proposing to dismiss as redundant
  • 20 or more employees
  • At one establishment
  • The employer
  • Other collective consultation obligations

This Practice Note considers the circumstances in which the statutory consultation obligations in a collective redundancy situation will be triggered.

Information and consultation is a vital part of any kind of fair dismissal and, if the employer wishes to minimise the risk of liability to pay compensation to affected employees, must play a significant role in any redundancy exercise.

Under the Trade Union and Labour Relations (Consolidation) Act 1992 (TULR(C)A 1992), where an employer is proposing to dismiss as redundant 20 or more employees at one establishment within any period of 90 days or less, this gives rise to statutory obligations to:

  1. inform (see Practice Note: Collective redundancy—statutory information and consultation obligations—Information to be provided)

  2. consult (see Practice Note: Collective redundancy—statutory information and consultation obligations—Collective consultation obligation)

  3. notify the Secretary of State in the Department for Business, Energy and Industrial Strategy (BEIS) (see Practice Note: Collective redundancy—statutory information and consultation obligations—Obligation to notify BEIS)

The consequences of a failure to comply with the statutory information and consultation obligations will depend on the nature of the failure, and may include criminal liability (see Practice Note: Collective redundancy—statutory information and consultation obligations—Failure to comply).

The statutory consultation obligations are separate from and in addition to:

  1. any consultation required in order to ensure each dismissal is fair (see Practice Note: Redundancy—fair procedure: collective consultation—Warning and consultation)

  2. any duty