Q&As

Where an employer has notified BEIS that it is proposing to dismiss as redundant 20 or more employees, is it obliged to stop recruiting new staff during the redundancy exercise?

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Published on LexisPSL on 14/05/2020

The following Employment Q&A provides comprehensive and up to date legal information covering:

  • Where an employer has notified BEIS that it is proposing to dismiss as redundant 20 or more employees, is it obliged to stop recruiting new staff during the redundancy exercise?

An employer proposing to dismiss as redundant 20 or more employees is obliged to notify the Secretary of State for BEIS before any notices of redundancy are issued and, in any case:

  1. where 20 or more dismissals are proposed in a 90-day period, at least 30 days before the first of those dismissals takes effect

  2. where 100 or more dismissals are proposed in a 90-day period, at least 45 days before the first of those dismissals takes effect (where the proposal to dismiss the employees arose before 6 April 2013, the period is 90 days rather than 45)

Notification must be made by sending a completed Form HR1 to the Insolvency Service Redundancy Payments Service, which acts on behalf of BEIS.

In addition to notifying BEIS on Form HR1, the employer must also consult with trade union representatives or other elected employee representatives before redundancies are made. See Practice Note: Collective redundancy—statutory information and consultation obligations.

This includes consultation on ways of:

  1. avoid

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