Redundancy: 5 key stages

Given global economic conditions, we are ensuring that we invest in all the right priorities. We will continue investing in Pakistan and we are strong believers of this market, hence, we felt it is imperative that we reorganise our structure to scale and grow in the coming years,

Although the statement does not explicitly mention layoffs, it may imply that the company will be restructuring its workforce to align with its new priorities and growth plans.

As an employer, it is important to handle the task of making someone redundant in the correct way. It is crucial to be aware of the relevant approaches and take appropriate steps to minimize any negative impact on your employees' morale and motivation.

To handle redundancy effectively, it is important to follow five key stages:

Develop a redundancy strategy that outlines what, when, and how information will be communicated to employees in a transparent and respectful manner.

• Create a clear timeline for the redundancy process and communicate it to all employees.
• Establish a transparent and fair process for selecting employees for redundancy.
• Provide training to managers on how to handle redundancy and communicate with affected employees.
• Set up a support system for affected employees, such as counselling services or job search assistance.

Seek alternative plans to reduce redundancy, such as offering flexi working hours, job sharing schemes, part-time work, or voluntary retrenchments.

• Offer flexible working arrangements, such as job sharing or reduced hours.
• Explore new business areas or markets to create new job opportunities.
• Offer early retirement packages or voluntary redundancy packages.
• Provide training or re-skilling opportunities to help employees transition to new roles within the organization.

Set objective criteria for staff selection based on factors such as performance records, competencies, qualifications, skills, transfer options, and age.

• Base selection criteria on objective factors, such as performance, skills, and qualifications.
• Provide clear and specific feedback to employees who are being made redundant.
• Ensure that the selection process is fair and transparent.

Communicate with employees who are being made redundant in a consultative and sensitive manner, and provide them with appropriate notice and right of appeal.

• Schedule individual meetings with affected employees to discuss the redundancy process and their options.
• Be empathetic and sensitive to their needs, concerns, and feelings.
• Provide employees with clear and accurate information about their redundancy and any entitlements or benefits they may be eligible for.

Provide outplacement facilitation to support redundant employees through the transition process.

• Partner with an external outplacement provider to provide support services to affected employees.
• Offer career assessment, skills training, job search assistance, and other support services to help employees transition to new roles.
• Maintain ongoing communication with affected employees to ensure that they are receiving the support they need during the transition process.

If you have any doubts about implementing redundancy, seek the correct advice from our expert Muhammad Farhan Qaxi to ensure you handle the process in a respectful and appropriate manner.