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How to make an At risk of redundancy letter

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Start your redundancy process correctly using this at risk of redundancy letter. When considering employees for redundancy you should make sure the proper process is followed and that employees remain informed at all times. Use this risk of redundancy letter to sensitively explain to employees that their job may be at risk due to a number of specified business reasons and what will happen next.

Use this letter:

  • if you are planning to make one or more (but less than 20) employees redundant
  • as the first step in the redundancy process when you are making multiple people redundant or if there is a need to perform a selection exercise
  • if the redundancy will involve more than one job title or redundancy pool, prepare a separate letter for each

You do not need to use this letter if you are just making one employee redundant who is in a unique role and there is no element of selection.

This letter covers:

  • the business reason for the proposed redundancy
  • the nature of the redundancy
  • the fact that the recipient of the letter is at risk of redundancy
  • the redundancy pool (if relevant)
  • the basis of selection (if relevant)
  • an invitation for the employee to comment on the selection process
  • confirmation that individual consultation will occur
  • confirmation that ways to avoid redundancies will be sought, and
  • an invitation for volunteers for redundancy

An at risk of redundancy letter is a formal letter informing employees that they are at risk of being made redundant due to specific business reasons.

Informing employees of the risk of redundancy shows that you are following a fair and consistent redundancy procedure and that you are concerned about employee welfare. It ensures employees are aware of the situation at an early stage of the process and gives them the chance to explore alternative options before being made redundant.

Yes, this letter is not the final redundancy decision, and alternative employment solutions can still be looked for throughout the whole redundancy process.

If you are planning to make more than one person redundant, the next step should be the selection process, whereby you will select the redundant staff objectively, through clearly defined selection criteria. For more information, read Redundancy pooling and selection before going forward with redundancy.

Ask a lawyer:

  • where a woman on maternity leave is being made redundant
  • for collective redundancies (ie where it is proposed that 20 or more employees will be made redundant within a 90 day period)
  • for employees based outside England, Wales or Scotland

This letter is governed by the law of England and Wales or the law of Scotland.

Other names for At risk of redundancy letter

Letter informing employee of the risk of redundancy.