Going through redundancy - I believe the Employer has not selected fairly

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CormacH

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Hi. I was notified two weeks that my position was at risk and I have been going through the process since. It's with a profitable US multinational and I have been with them for 6.5 years. The proposed severance package has been issued to me.

However, it's clear that they have not used a fair selection process/matrix and applied it to the team and I strongly believe that I have a case. The only thing is that they will be paying up to €600 in legal fees and this will be made available once the official severance letter has been produced, allowing me to have it all reviewed.

The basic question I have is - at what point should I engage with a solicitor? Should I simply go though and complete the redundancy process and then as a secondary step, possibly pursue a case against them? Or at the point where I am getting the solicitor to review, discuss it then? I have not raised any of my concerned with the employer at this point.

Thank you
 
Normally there would be an appeals process against any selection for redundancy. Also it is unclear if this is a collective redundancy issue or just you being singled out.

As for selection, bear in mind things like last in first out are perfectly acceptable
 
Just from experience, you should have a meeting explaining the decision and you should have the opportunity to appeal after the selection is confirmed.
As above, what would you want to obtain from the case? Would you be likely to gain much more than the proposed redundancy package? If you find another job quickly, even if it was an unfair selection, the compensation might not be that much.
Be careful also that some solicitor might encourage you to raise an appeal without being clear on what you could really achieve. (Once again, just from personal experience).
Redundancy is difficult and it's easy to get angry and frustrated. So I would encourage you to step back, see what is on offer for you.
 
Thanks for the feedback everyone - it's always good to get a different perspective.

And yes sorry - should have mentioned that it was individual. There are a few of us being let go around Europe so it's not collective bargaining. It's definitely not LIFO - I'm the longest serving! I also have the most experience and qualifications. That's why I don't believe a fair matrix has been used. I'm assuming it is being based on languages.
 
Can I just ask one more thing please - the end date they have proposed is the 10th of February (this is marked as (tbc).

It would be a big help to me if I could see out the month - finish on the 28th of February.

Is this an unusual thing to ask?
 
CormacH said:
Hi. I was notified two weeks that my position was at risk and I have been going through the process since. It's with a profitable US multinational and I have been with them for 6.5 years. The proposed severance package has been issued to me.

However, it's clear that they have not used a fair selection process/matrix and applied it to the team and I strongly believe that I have a case. The only thing is that they will be paying up to €600 in legal fees and this will be made available once the official severance letter has been produced, allowing me to have it all reviewed.

The basic question I have is - at what point should I engage with a solicitor? Should I simply go though and complete the redundancy process and then as a secondary step, possibly pursue a case against them? Or at the point where I am getting the solicitor to review, discuss it then? I have not raised any of my concerned with the employer at this point.

Thank you
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There must be something in the air. I’m currently representing two employees who are in a similar scenario.

Firstly, be absolutely clear that redundancy should only occur where the requirement to undertake certain work no longer exists. The person or persons whose work this was, should be the ones to be made redundant.

In a situation where a number of people are undertaking similar work but the requirement arises to reduce the headcount (even by just one), there is then a requirement to apply selection criteria. The fastest and easiest criterion to rely upon is LIFO (last in, first out) but employers may apply a wider set of criteria.

It’s absolutely reasonable and normal to ask about the criteria that applied in the selection process that led to you being identified as the person who should be made redundant. It would be interesting to hear what they have to say.

Given that you’re the longest serving and best qualified, you may have to consider that you have been personally targeted. This may be, for example, because you’re the highest paid and you could be replaced by someone else for less money.

In all redundancy situations, you are entitled to a statutory redundancy payment amounting to two weeks’ pay (capped at €600 per week) for each full year of service plus one additional week. In your case, this amounts to 13 weeks’ salary, all of which is tax free. You are not required to sign any agreement as a condition of this payment.

The settlement agreement you are being offered on this occasion is likely to make reference to a particular settlement or ex-gratia payment. In return, you will be asked to sign the agreement which will include a provision requiring you to waive any employment rights you might otherwise rely upon to take an action for, say, unfair dismissal. If you sign the agreement and accept the ex-gratia payment, you have no scope to take any action in the future.

The €600 provision for legal advice on the terms of the settlement agreement is a standard provision in these circumstances. It allows an employer to state, if ever required, that you were given full opportunity to consider the legitimacy of the agreement presented to you.
 
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CormacH said:
Can I just ask one more thing please - the end date they have proposed is the 10th of February (this is marked as (tbc).

It would be a big help to me if I could see out the month - finish on the 28th of February.

Is this an unusual thing to ask?
Click to expand...
All terms of settlement agreements are open to negotiation, including the termination date.

Your contract of employment should, in any event, state the notice period to which you are entitled and this should be observed as a minimum.
 
Also to note, there are statutory notice periods depending on length of service that may exceed the terms of your contract. With 6.5 years chances are yours is at least four weeks in your contract but for anyone else reading the thread in case their original contract has less than the statutory. HR teams can sometimes miss this. Of course your contract could be longer too.

Minimum Notice

www.workplacerelations.ie www.workplacerelations.ie
 
CormacH said:
Thanks for the feedback everyone - it's always good to get a different perspective.

And yes sorry - should have mentioned that it was individual. There are a few of us being let go around Europe so it's not collective bargaining. It's definitely not LIFO - I'm the longest serving! I also have the most experience and qualifications. That's why I don't believe a fair matrix has been used. I'm assuming it is being based on languages.
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Languages? Are you saying you don't have the skillset to talk to overseas clients or is it that you don't speak the same languges as your managers
 
CormacH said:
Can I just ask one more thing please - the end date they have proposed is the 10th of February (this is marked as (tbc).

It would be a big help to me if I could see out the month - finish on the 28th of February.

Is this an unusual thing to ask?
Click to expand...
Definitely ask, it's normal for people to try to extend the period - sometimes if you go through the process of applying for alternate internal jobs that can buy you time as they've to be seen to be taking it seriously even when the employer has no intention of doing anything except a layoff.

Also in your case - the improved Jobseekers kicks at the end of March. For the first 3 months it's over 400 a week instead of the current 244.
 
CormacH said:
Thanks for the feedback everyone - it's always good to get a different perspective.

And yes sorry - should have mentioned that it was individual. There are a few of us being let go around Europe so it's not collective bargaining. It's definitely not LIFO - I'm the longest serving! I also have the most experience and qualifications. That's why I don't believe a fair matrix has been used. I'm assuming it is being based on languages.
Click to expand...
There are several potential reasons that you and your European colleagues have been chosen, ranging from being high earners, having personality clashes with SM, ready made in-house replacements in situ, to cost saving restructuring. Ultimately your company have decided that you are one of those chosen to be made redundant and are likely to stand behind "restructuring" as their rational and to be honest even if you did have a case to make for unfair selection and were successful how would you feel continuing to work there afterwards?

I would certainly seek to negotiate an extension to the finish date to the end of March thereby becoming eligible for the enhanced Job Seekers Benefit whilst returning to paid employment (I would advise taking your time to get the right "fit" for your next role and not to jump at the first opportunity that presents itself, unless of course it "fits").

As the redundancy is individual you should try to negotiate the best possible package (including end date) for yourself, to include items like continued health insurance cover for a specified period of time or until new employment is obtained, professional assistance with your CV and interview preparation, retention of or purchase of your company car (if applicable) and so on.

Its a stressful time but, from experience, there will be light at the end of the tunnel and if it gets too stressful you can always get a cert from your doctor.
 
100% ask on extending the end date. I was able to do this once as it was beneficial for me to get the full year of service tax as I was almost there. And in the same situation now I would ask due to the enhanced unemployment benefit. They can at worst say no.
 
I may be facing similar. Just checking re doc cert. Can you go sick while working out notice?

I accidentally (I think) saw a new department plan which didn’t include me but did include 2 people a grade lower which seem to have my role split. I’m there a long time and fairly well paid compared to the potential new hires. Replacing a 25+ year service with 1 new grad and another with 3-5 years industry experience seems off. But if that’s what they want I’ll wait to see what the cash offer is. However I can’t envisage anything more than a minimum notice/handover. I’ve seen too many long drawn out exits and it’s painful. I’d rather not do it but I will struggle to get a new job (60+) so enhanced dole is essential
 
Annieindublin said:
I may be facing similar. Just checking re doc cert. Can you go sick while working out notice?

I accidentally (I think) saw a new department plan which didn’t include me but did include 2 people a grade lower which seem to have my role split. I’m there a long time and fairly well paid compared to the potential new hires. Replacing a 25+ year service with 1 new grad and another with 3-5 years industry experience seems off. But if that’s what they want I’ll wait to see what the cash offer is. However I can’t envisage anything more than a minimum notice/handover. I’ve seen too many long drawn out exits and it’s painful. I’d rather not do it but I will struggle to get a new job (60+) so enhanced dole is essential
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Of course you can, you also have no obligation to state on your cert the reason for your sickness.
 
ashambles said:
Definitely ask, it's normal for people to try to extend the period - sometimes if you go through the process of applying for alternate internal jobs that can buy you time as they've to be seen to be taking it seriously even when the employer has no intention of doing anything except a layoff.

Also in your case - the improved Jobseekers kicks at the end of March. For the first 3 months it's over 400 a week instead of the current 244.
Click to expand...
Just bear in mind as well re exit, they have to stick to the law and what your contract says but it is quite common when people are being exited to be put on "gardening leave". In other words, you sit at home, getting paid, until your last day of employment. That period is taxed as per normal. So on the Feb 10th date, ask if that is your last day of employment or are you being put on gardening leave
 
ashambles said:
Definitely ask, it's normal for people to try to extend the period - sometimes if you go through the process of applying for alternate internal jobs that can buy you time as they've to be seen to be taking it seriously even when the employer has no intention of doing anything except a layoff.

Also in your case - the improved Jobseekers kicks at the end of March. For the first 3 months it's over 400 a week instead of the current 244.
Click to expand...
I did not realise there was a temporary increase in Jobseekers allowance. Hopefully I won't need it or it will just be for short term.

It looks like it is actually €450 per week??
 
Have they completed the redundancy process ? Did they offer you a chance to seek an alternative position in another jurisdiction? My process took 2 months before an ex gratia payment was agreed upon. I only got formal notice at that point. I believe they need a final letter of offer prior to notice. Are you still actually doing work ?
 
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