What is this redundancy at risk letter template?
This redundancy (at risk) letter template formally communicates to an employee that their current role is at risk of redundancy. It outlines the reasons for the potential redundancy, the consultation process, the timeline for discussions, and the employee's rights to be accompanied during consultation meetings.
The key objectives of this redundancy (at risk) letter template are to inform the employee that their role is at risk, initiate a consultation process, and provide support and transparency during a challenging period.
What are the benefits of using this redundancy (at risk) letter template?
Clarity: The template provides a clear and structured way to communicate sensitive information, ensuring that the employee understands the situation and the process that will follow.
Documentation: This redundancy (at risk) letter template creates a written record from the outset of the redundancy process, which is valuable for both the employer and the employee. Having a documented history of meetings and communication can help in case of disputes in the future. You can also store your records in Docue’s secure storage so you’ll never lose an important document again.
Compassion: It is written in a respectful tone, giving thanks to the employee for their hard work and acknowledging their contributions to the company. This redundancy at risk letter template is fully customisable, so it can be personalised to suit your unique circumstances.
Timely information: It provides a timeline for the consultation process and mentions that the employee will be informed of any changes promptly, ensuring that both parties are aware of what to expect. It also clarifies next steps for the employee to ensure that everyone is on the same page.
Compliance: While using a redundancy (at risk) letter template will not guarantee automatic compliance with UK employment laws, it serves as a fundamental step in the right direction and reduces the risk of legal issues in conjunction with a fair redundancy process. For a step-by-step process to managing staff redundancies, check out the Acas website.
This redundancy (at risk) letter meeting template assumes that the employer is a UK-registered company and that English law governs the terms of employment and redundancy rights.
What are the key sections in this redundancy (at risk) letter template?
- Purpose of the letter: The introductory section provides an overview of the letter's purpose, which is to confirm that the employee's role is at risk of redundancy due to specific reasons.
- Consultation process: This section explains the purpose of the consultation process, which includes understanding the employee's views and ideas and discussing ways to avoid redundancy.
- Consultation timeline: This section outlines the expected timeline for consultation, including the dates of the first and final consultation meetings. It also mentions the possibility of additional meetings and the flexibility of the timeline.
- Next steps: This part encourages the employee to prepare questions and ideas for the consultation meetings and also offers the option to bring a companion to the meeting. It also expresses appreciation for the employee's dedication to the business.
This redundancy (at risk) letter template is fully customisable and can be tailored to suit your business needs.
The redundancy process
Redundancy letters are communications by a company to its employee(s) that they are either at risk of or have been selected for redundancy (i.e., that their role at the company will be terminated due to changes in the business which means that the role is no longer required). These letters are only suitable for small-scale redundancies where stand-alone roles are being made redundant. For redundancy processes requiring selection processes, or where collective consultation is required, specific legal advice should be sought.
This redundancy (at risk) letter template is the first letter that should be used when initiating the redundancy process with an employee.
Our redundancy letter templates should be used in a specific order as part of the redundancy process, as detailed below:
An ‘at risk’ letter informs the employee that they are being considered for redundancy, and the reasons why. It also sets out the company’s process consultation meetings and timetables being put in place and reminds employees that they can be accompanied to these meetings.
An ‘invite’ letter invites the employee to attend a consultation meeting to discuss the possibility of, and how to potentially avoid redundancy, or re-position the employee somewhere else in the business. This also provides the employee with an update since the last meeting.
An ‘outcome’ letter informs the employee that they have been selected for redundancy and is a formal notice of termination of their employment contract. It also sets out the employee’s rights (depending on their contract and period of service), including the right to appeal the decision, and a reminder of obligations that survive termination of the employment contract.
These letters are for a very straightforward process where a single role is disappearing. If you are choosing one employee from several performing the same role, or it is a complex situation, or you wish to make 20 or more people redundant you should seek legal advice as there are strict consultation rules and timings to follow.
An employer must pay redundancy to any employee who has been employed for 2 or more years. To calculate an employee's statutory redundancy pay, check out the government website. You do not need to pay redundancy when an employee has less than 2 years of service.
Why use Docue's redundancy (at risk) letter template?
Created by lawyers: The redundancy (at risk) letter template includes model clauses designed by lawyers, along with guidance notes, to help you draft the letter yourself and tailor it to your unique circumstances.
Organised: Signatures can be collected electronically, and all documents you make are saved in your company's own contract account.
Affordable: At Docue, we believe in transparent and cost-effective pricing without any hidden fees. You can check out our pricing here.
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