Consultation on collective redundancy rules

Following a recent call for evidence, the Government has opened a consultation over the statutory rules on collective redundancies,

Following a recent call for evidence, the Government has opened a consultation over the statutory rules on collective redundancies, with a view to reforms that will improve consultation quality and the ability of employers to respond to changing market conditions, while balancing the interests of redundant employees with those who remain in employment.

To create a more effective collective redundancy regime, BIS are consulting on a package of reforms, based around three proposals: (1) Reducing the 90-day minimum consultation period for large redundancies of a 100 or more employees and views on the impact of using either 30 or 45 days. (2) Issuing a new, non-statutory, Code of Practice which will address a number of key issues affecting redundancy consultations. The Code would address the principles and behaviours behind a good quality consultation, with a particular focus on dealing effectively with the most contentious issues. (3) Improving guidance for employers and employees on the support on offer from government. BIS will review the existing guidance to ensure that it is accurate and fit for purpose and that people who need it are able to access it when they need it as currently, the call for evidence demonstrated that employers and employees are not always aware of the resources available to them, and when to take advantage of them. The consultation closes on 19 September 2012.

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