Collective Redundancy Consultation - Draft Regulations Published

The Government has published the draft Trade Union and Labour Relations (Consolidation) Act 1992 (Amendment) Order 2013, which makes changes to the rules relating to collective redundancy consultation.

Where an employer is proposing to dismiss as redundant 100 or more employees within a period of 90 days or less, the 90-day minimum consultation period necessary before the first dismissal takes effect is to be reduced to 45 days. The maximum protective award for failing to consult remains at 90 days, however.

Where the employer is proposing to make redundant more than 20 but fewer than 100 employees, the minimum consultation period will remain at 30 days.

The legislation is also amended to make it clear that employees on fixed-term contracts that have reached the end of their natural life are excluded from the obligations for collective redundancy consultation, but where the employer is proposing to dismiss an employee on a fixed-term contract as redundant and the dismissal will take effect before the date on which it was agreed that the contract would expire, the employee must be included in the head count.

The legislation is scheduled to come into force on 6 April 2013.