The legal definition of redundancy is simple and straightforward – where the position is no longer required to be done by anyone. The use of redundancy law is not so straightforward. McDonald Murholme redundancy lawyers have extensive experience in dealing with the misuse of redundancy laws. Many of our clients are affected by redundancies, so it’s always a topical issue.
Redundancy can be misused in two principal ways:
(a) Being offered offered to an employee to terminate employment where the position is not genuinely redundant, but is a disguise for another unlawful reason;
(b) Where redundancy is not offered to an employee who is genuinely entitled because the company wants to avoid the cost of the redundancy.
Both of these topics are discussed below.
Redundancy has become one of the most popular ways to terminate employment of an unwanted employee. A redundancy is unlawful where it is not genuine because the position largely remains in place with a different title or a slight change of duties.
Typically, an employer may not want a mother returning from maternity leave, so shortly before her return may advise her that her position has been made redundant.
The other key area where redundancy is misused to meet an ulterior motive, is against an employee who has been with the business for a long time and is older but undervalued. It is unlawful to make an older person redundant due to age, but the age discrimination may be masked or disguised. These are just two of many examples of a non-genuine redundancy which is unlawful.
There are many other categories including:
(a) Where an employee is a whistleblower exposing flaws, faults and breaches of law within the business;
(b) Exercise of workplace rights by a person raising complaints about workplace issues;
(c) Where a new manager is appointed and wants to “clean out” employees loyal to the previous management to make way for the new managers’ team.
(d) Where an employee has been diagnosed with an illness (eg. cancer) and the employer does not wish to support the employee due to possible disruption while the employee seeks medical treatment. A “business decision” may be made to make the sick or injured person redundant rather than support that employee for an unknown period of recuperation.
With the right legal advice from a redundancy lawyer at McDonald Murholme, it is not difficult to challenge a non-genuine redundancy. However, challenging a business which has done the wrong thing needs a careful and clinical approach.
Disguised Redundancies
Often the needs of a business will change whether through expansion or contraction. The roles of employees may need to change. Where those changes are significant, an employee is often entitled to claim a redundancy rather than continue working for the company in a changed position especially if that changed position does not fit their skillset or experience. Or where the salary is reduced in a tight labour market where it is difficult to find new and skilled employees, an employer may not want to let employees go. Rather the employer may want to force the employee to stay on by refusing to admit to a redundancy even though one is due.
A McDonald Murholme redundancy lawyer will readily identify when a redundancy is due but not paid. There are key steps to be taken by the employer where a redundancy is genuine and if these steps are not taken, an employee should be well-advised.
There are other ways that some businesses seek to avoid paying a redundancy payment where the business wants to remove an employee, whose position is redundancy but the business does not want to pay the redundancy. The most popular of these ways is through performance management of an employee or by making trite or false allegations against an employee to create a termination and not pay a redundancy.
Often the employee is suspended and isolated which causes unnecessary distress.
A McDonald Murholme redundancy lawyer can identify such a situation. That lawyer can ensure that the redundancy is paid.
McDonald Murholme – Redundancy Lawyers – available at short notice 03 9650 4555
Workplace Investigations
Workplace investigations have become a popular way for a business to shield itself from being sued where there are conflicts within a workplace. Often workplace investigations are carried out by external consultants. The process can be valuable but is sometimes abused where the investigation is not independent/objective. An investigator employed by the company, paid by the company, with a secret brief from the company to achieve a pre-determined outcome, may make unfair findings against an employee. It might also fool an employee into resigning in fear of an unfair outcome.
There are some very good workplace investigators in Australia who would not be compromised but there are others whose investigations are superficial. It is worthwhile taking advice from a McDonald Murholme employment lawyer to see whether or not a workplace investigation is being carried out correctly.
The McDonald Murholme employment lawyer will also advise how an employee can best cooperate in an investigation to ensure that they are not found guilty by the investigator of false allegations against them.
McDonald Murholme – Workplace Investigation Lawyers – making workplace investigations safe and accountable.
Redundancy Legal Advice: What Is a Redundancy?
Under the law, an employee can be made redundant when their position is no longer required to be performed by anyone at the business.
This concept is simple to understand but not always straightforward in its implementation. We have years of experience handling redundancy cases for both employees and employers, and we can help you navigate the complexities of redundancy disputes.
Case Study: Exploring the Complexities of Redundancy Disputes
Redundancy disputes can be about more than whether or not a redundancy is genuine. In some cases, employees will be dismissed but not offered redundancy payments, which can lead to further complications.
This is illustrated in the case of IFF V HOFF.
Due to the global restructuring of the business, Ms H. was dismissed from her job at IFF. Her redundancy was valued at $100k, but IFF refused to pay on the grounds of poor performance.
Ms H. and her legal team successfully disputed the allegations of poor performance in the Magistrates Court. Redundancy was awarded, but IFF appealed in the Supreme Court. The Court heard hours of oral submissions, at which point Ms H. looked set to lose her redundancy once again.
Partway through her appeal, Ms H. changed her representation, engaging Alan McDonald to lead the case. Eventually, Ms H. succeeded in securing her payout.
This case demonstrates the many complexities of redundancy law. The potential outcome of the case changed several times, and only by engaging a new barrister did Ms H. eventually receive her redundancy payment.
Redundancy Legal Advice for Employees and Employers
At McDonald Murholme, we are always available to advise on redundancy matters and whether or not a redundancy is considered genuine.
Our lawyers are a trusted source of information for employers and employees, and we have offered fast, affordable, and efficient services for more than 30 years. Additionally, if your redundancy dispute is seen before the courts, McDonald Murholme can represent your interests.
Redundancy Lawyers for Melbourne, Sydney, Canberra, Adelaide, Brisbane and All of Australia
While our redundancy lawyers are primarily based in Melbourne, we proudly act for individuals and employers across the country. Whether you need redundancy lawyers in Sydney, Brisbane, Adelaide, or beyond, we can assist you 03 9650 4555.
Get in touch with the employment lawyer who has acted for thousands of employees like you.
efficient and affordable service which is highly personalised.
The McDonald Murholme team is headed by Mr Alan McDonald.
Contact UsRedundancy occurs when there has been a change in operational requirements, and your job is no longer required. A change in operations requirements include circumstances in which a machine is available to do the job that was performed by you. Redundancy occurs when, through no fault of your own, your job is longer required to be done by anyone. Effectively, your job ceases to exist.
A non-genuine redundancy occurs when your employer fails to consult you about the redundancy in breach of a modern award or enterprise agreement, or it was reasonable to redeploy you in the circumstances. If you are covered by a modern award or enterprise agreement, there may be a consultation process that your employer is obligated to follow before implementing your redundancy. Generally, you must be informed of the proposed changes, provided information about the changes and their effects, and afforded a reasonable time to respond with ideas or suggestions.
You may apply for an unfair dismissal claim to the Fair Work Commission for compensation.
If the role ceases to exist and your employer has abided by consultation and redeployment terms as required by a Modern Award, this may be a genuine redundancy. However, you may opt for a General Protections application, which protects you from unlawful dismissal (including age discrimination).
Speak to an employment lawyer who has acted for thousands of employees like you.
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