Summer 2009 Newsletter Content Pot and kettle No more stealth Pensions hit A place in the sun Ready or not... Nice motor Making allowances Good times, bad times Tax-free checkup Three square meals Funny question Dividend rules OK? Too good to be true? Pay my friend Early EIS Mind the halfpennies Just the ticket Flat rate changes Foreign Service This year, next year Partial exemption Penalties Compliance checks Under their eye Howzat? Know your rights Discipline Don't be mean Redundancy Two sorts of absence Warranties

Redundancy In a recession, the "R"-word is a worry for both employees and employers. If the conditions for redundancy are met, there are grounds for a fair dismissal under employment law. Calling something redundancy when the conditions aren't met will lead to a claim for compensation, because the dismissal is likely to be unfair. There are four situations which can justify treating employees as redundant: closure of the whole business; closure of a workplace where the employee works; a diminishing need for someone to carry out the duties of that employee; and a diminishing need for those tasks in that location. Even if one of these applies, you still need to follow correct procedure and to act reasonably. Employers are required to consult the workforce, select employees for redundancy fairly, and consider whether the workers can be redeployed elsewhere. Failure to do these things can turn a fair redundancy into unfair dismissal. If you have to make people redundant, make sure you follow the rules.