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A Redundancy Consultation Letter is a formal letter inviting an employee to a consultation meeting where the employee’s potential redundancy will be discussed. Redundancy Consultation Letters outline the reasons for proposed redundancies and set out the details of the consultation meeting.
This document is GDPR compliant.
Use this Redundancy Consultation Letter:
to invite an employee to a redundancy consultation meeting
if you are planning to make one or more (but less than 20) employees redundant
only for employees based in England, Wales or Scotland
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Dear ,
I have arranged a meeting at on at :. The aim of the meeting is to give you a chance to discuss the proposed redundancy in more detail. Issues for discussion may include:
You may bring a work colleague or, if you have one, a trade union representative to the meeting as your companion. If you intend to bring a companion, please let me know their name as soon as possible. The meeting will be chaired by .
Following the meeting, will consider any points you make at the meeting and arrange a further meeting to discuss our response and decision, which you will then be informed of in writing.
I am sorry to have to address this letter to you and I appreciate how this news must have affected you personally. If you have any questions or issues about the redundancy process that you wish to discuss prior to the consultation meeting, please contact me.
I would also like to thank you in advance for your continued professionalism during this difficult period.
Please acknowledge receipt of this letter and confirm that you will attend the meeting as scheduled. If, for any unavoidable reason, you or your companion cannot attend at that time please contact me as soon as possible.
We treat personal data collected during the consultation process in accordance with our data protection policy. Information about how your data is used and the basis for processing your data is provided in our employee privacy notice and other policies.
If you or your companion have any specific needs at the hearing as a result of a disability, or if you have any other questions, please also contact me as soon as possible.
Yours sincerely,
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Set out your business' redundancy process
Inform an employee of the risk of redundancy
Dismiss an employee on the grounds of redundancy
Notify employees of the arrangements for a redundancy appeal
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This Redundancy Consultation Letter template covers:
previous letters and/or meetings dealing with the risk of redundancy
the reason for the proposed redundancy
the nature of the redundancy
the redundancy pool (if relevant)
the basis of selection and enclosure of the employee’s redundancy scores (if relevant)
details of the consultation meeting
topics for discussion at the consultation meeting
the employee's right to be accompanied to the meeting
an invitation for the employee to make submissions/representations at the meeting
an invitation for the employee to notify the employer of any reasonable adjustments needed at the meeting due to a disability
Sending a Redundancy Consultation Letter to all potentially affected staff is an essential step of the redundancy process. It ensures staff are aware of the situation and gives them a chance to discuss their potential selection for redundancy during a formal meeting. A one-to-one consultation provides an opportunity to explore alternative options. It reduces the likelihood of misunderstandings and leads to better decision-making. Failure to consult employees may lead to unfair dismissal claims being taken to an Employment Tribunal.
Although it is not always necessary to hold a physical meeting to discuss redundancy with employees, holding a redundancy consultation meeting shows a continued effort to keep employees informed of the situation and allows employers and employees to discuss a proposed redundancy in more detail. It also helps employers to ensure they follow fair processes when dealing with potential redundancies.
Use this Redundancy Consultation Letter:
as the first step in the redundancy process when you are making just one employee redundant who is a unique role and when there is no element of selection, or
after you have already sent At risk of redundancy letters to a group of employees who may be affected by redundancy
For more information, read How to make someone redundant in a small business.
The chairperson conducting the meeting for the employer should detail the reason for the proposed redundancies as well as the basis for selection (if relevant). Employees should be able to discuss alternative ways of tackling the problem or, if redundancy is inevitable, ways of minimising hardship. For more information, read How to make someone redundant in a small business and Redundancy pooling and selection.
Employees have a right to be accompanied at redundancy consultation meetings. It is usually down to an employee to decide who should accompany them, but it will typically be either a work colleague or a trade union representative.
Following the consultation meeting, managers should be able to decide whether a staff member should be made redundant or not. If redundancy appears to be the only way forward, the affected staff member must be informed in writing with a Dismissal for redundancy letter.
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To make your Redundancy Consultation Letter you will need the following information:
Employer and employee details
What are the employer’s details (eg legal structure and name)?
If the employer is a company, LLP or partnership, who will sign the Redundancy Consultation Letter on its behalf?
If the employer is a company, are they part of a group of companies?
What is the employee’s name, address and job title?
Redundancy
Has the employee:
Been notified that they are at risk of redundancy by letter? What was the date of the letter?
Been notified that they are at risk of redundancy at a meeting? On what date was the meeting held?
If the employee has not been notified about the risk of redundancy
Is the employer considering making redundancies because of:
A reduction in the business’s size or activities and the consequent need to reduce costs?
A deterioration in the financial performance of the business?
Proposed changes to the structure of the business?
Another reason? If so, why are redundancies being considered?
Will the redundancy process involve:
Reducing the number of employees performing certain roles?
Closing business premises?
What is the address of the employer’s premises affected by redundancies?
Pooling
Was the employee pooled with other employees and then selected for potential redundancy based on a scoring process? If so:
Which employee roles have been selected for the redundancy pool?
What is the current number of employees in the redundancy selection pool?
What is the future number of employees in the redundancy selection pool?
Consultation
What are the details of the consultation meeting?
Will any participants other than the employee and the person chairing the meeting attend the meeting?
If so, who are the other consultation meeting participants?
Letter
On what date will the Redundancy Consultation Letter be sent to the employee?
Will the Redundancy Consultation Letter be printed on headed paper including the business name and address?
If not, what is the employer’s address?
Redundancy Consultation Letters are used to invite an employee to a meeting to discuss their potentially being made redundant. To achieve this, this Redundancy Consultation Letter includes:
Sender and recipient details
The start of the Redundancy Consultation Letter sets out the details of the employer and the employee who is being invited to the meeting to discuss potential redundancies.
Redundancy consultation meeting
The body of the Redundancy Consultation Letter provides details relating to the potential redundancies. These details include:
when and where the meeting will take place
who the chairperson of the meeting will be
what the aim of the meeting is
what will happen after the meeting
Data protection
The Redundancy Consultation Letter clarifies that any personal data (eg the employee’s name and address) used during the consultation and redundancy process will be processed (eg collected and stored) under the employer’s Data protection and data security policy. It also encourages the employee to check the employer’s Employee privacy notice for easy-to-understand information on data processing.
You can edit your document if you want your Redundancy Consultation Letter to include further or more detailed provisions. However, if you do this, you may want a lawyer to review or change the Redundancy Consultation Letter for you, to make sure it complies with all relevant laws and meets your specific needs. Ask a lawyer for assistance.
Follow a clear and transparent redundancy process
To prevent any potential claims of unfair dismissal, it is essential that you, as an employer, follow a clear and transparent redundancy procedure. To facilitate this, you should adopt a Redundancy policy to clearly communicate and outline your redundancy process. This process should include:
deciding who may be affected by redundancies using fair, transparent and non-discriminatory criteria
informing employees that may be affected by redundancies (eg using an At risk of redundancy letter)
consulting with employees that may be made redundant (using this Redundancy Consultation Letter)
considering whether alternative employment may be a suitable solution instead of redundancies
considering what alternative employment may be suitable
clearly communicating any dismissals for redundancy (eg using a Dismissal for redundancy letter)
Be aware that special rules apply in situations where 20 or more employees are being made redundant.
For more information, see the FAQ ‘What are the next steps after sending a Redundancy Consultation Letter?’ and read Redundancy and How to make someone redundant in a small business.
If you have any questions or concerns about the redundancy process, Ask a lawyer. You can also make use of our Redundancy service.
Familiarise yourself with the special rules for pregnant employees or those on maternity leave
If you are considering making redundancies, you need to pay particular attention to the rules for pregnant employees and those on maternity leave. If any employees in such situations may be affected by redundancies, you must:
work out whether you have a genuine reason to make the employee in question redundant
always consult the employee in question
only select potential candidates for redundancy based on transparent, objective, measurable, and non-discriminatory criteria
offer any suitable roles or vacancies to pregnant employees or employees on maternity leave first (ie before offering them to another employee)
For more information, read Redundancy and pregnancy or maternity leave.
Understand when to seek advice from a lawyer
Ask a lawyer for assistance:
if this Redundancy Consultation Letter doesn’t meet your needs
when a pregnant employee or an employee on maternity leave is being made redundant
with collective redundancies (ie when 20 or more employees may be made redundant within a 90-day period)
if you have any questions or concerns about the redundancy process
handling redundancies for employees based outside England, Wales and Scotland
