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Redundancy Business Cases - Ensure that a Redundancy Proposal is Underpinned by a Sound Business Case

EMP.RED.20

This Redundancy Business Case should be used by an employer to demonstrate the justification for, and reasoning behind, a proposed redundancy exercise.  The redundancy business case is central to the consultation process and should demonstrate that there is a genuine redundancy situation.

Employers will not necessarily need to include all matters set down in this redundancy business case but, as a minimum, the following is required:

  • An explanation of the situation that has led to potential redundancies
  • Details of the redundancy proposal
  • The number of affected employees and their job roles
  • Possible alternatives to redundancies.

Alongside the Redundancy Business Case, employers should provide organisational charts to show the company structure before and after the proposed redundancies. 

Employers must be careful to state that this is a proposal and avoid any language that suggests that redundancy is a foregone conclusion.

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