Redundancy Policy

1.     Introduction

The Company’s intention is that it should maintain a long-term employment relationship with its colleague. Compliance Group Limited recognises the contribution that all staff make to deliver its business objectives, and also the need to ensure that staff feel secure and are appropriately supported throughout their employment.

The company will therefore seek to ensure that the business planning process takes account of staffing implications and wherever possible, avoid the need for redundancies. However, there may be situations caused by, for example, changes in business circumstances, organisational requirements and technological developments, which affect staffing needs. A potential redundancy situation arises in the following circumstances:

Redundancy is a form of dismissal (where the colleague is deemed to be not at fault) and becomes a consideration where work of a particular kind has ceased or diminished; i.e. the company has ceased to do work of a particular type, or that work has become less, requiring fewer people.

UK legislation is clear about the procedures which should be followed in a redundancy situation and Compliance Group Limited is committed to meeting those requirements.

The Redundancy Policy and Procedure will only be used where there is a genuine redundancy situation. This Policy and Procedure will be used in instances where there are fewer than 20 redundancies over a 90 day period. In the event of more than 20 roles being identified as potentially redundant, the statutory procedure for collective redundancy consultations will apply.

2.     Scope

This policy applies to all Compliance Group Limited colleagues. This policy does not form part of your terms and conditions of employment nor can it establish contractual rights. The Company will keep this policy under review and may from time to time amend, replace, or withdraw it in its sole discretion, for whatever reason.

3.     Policy

The Company will endeavour to avoid making your role redundant and will consider any viable alternatives to preclude such action. These may include:

Any measures adopted must not adversely affect our business and our ability to serve our customers.

In the event that redundancy becomes necessary, the Company will seek to minimise the number of colleagues affected and will consider the impact of such a decision on you before taking action.

Redundancy consultation and any dismissals will be conducted in a transparent, fair and equitable manner, in line with current legislation.

4.      Principles

The Company will aim to always comply with legislation and any redundancy process will be run as transparently as possible. Decisions regarding redundancy will be based, as far as possible, on objective assessment.

Following any announcement that there is a risk of redundancy, you will have the right to be accompanied to any individual consultation meetings by a Trade Union representative or colleague who is an colleague of Compliance Group Limited. Consultation periods may vary in duration according to circumstances and there is no minimum or maximum duration.

At all times during the process your Manager will make it clear to you what stage has been reached.

You will be notified in writing if you role is identified as potentially at risk of redundancy.

You will be invited, in writing, to a meeting and notification will clearly state the purpose of the meeting. There will be a minimum of two meetings held during the process. Further meetings will be held as appropriate.

Compliance Group Limited does not automatically enhance redundancy terms, in a redundancy situation any accrued but untaken annual leave entitlement will be paid with the final salary, subject to your normal statutory deductions. If you have taken more leave than was due by that point in the year, excess holiday pay may be deducted from your final salary payment.

If your role is made redundant you will normally be required to work your notice period, managers may either be asked to take garden leave or be given pay in lieu of the unworked notice at the request of the Company.

You will receive notification of redundancy and severance terms in writing.

You will have the right of appeal against any decision to make you redundant and If you have significant knowledge or expertise you may also be subject to extra agreements which concern confidentiality and anti-competition measures.

5.     Procedure

CGL will adopt a fair, consistent and objective approach to the selection of those whose employment is to be terminated.

5.1 Internal Announcement

Where a number of redundancies are contemplated either;


This meeting or letter does not form the start of consultation. Consultation will not be deemed to have begun until the first consultation meeting takes place.

5.2 Consultation

The first stage of the redundancy process is a consultation period. If your role is ‘at risk’ of redundancy you will be invited, in writing, to an individual meeting with the Line Manager and a member of the HR team to discuss the possibility of redundancy.

 At this meeting the Manager will:

Duing this and all other individual consultation meetings, you will have the right to be accompanied by a Trade Union representative or a currently employed work colleague. . The right to be accompanied does not extend to an colleagues friend, relative or solicitor. Colleagues are expected to make all arrangements for their accompanying person to attend meetings and it is expected that adequate time be allowed to arrange representation and attendance. Where the chosen companions cannot attend on the date proposed, the colleague can propose an alternative time and date so long as it is reasonable and within a reasonable timescale, normally within five working days of the original date;

5.3 Appeals

In the event that you wish to appeal against the decision to make your role redundant, you should write to HR detailing the reasons for your appeal within 5 working days of receipt of written confirmation of redundancy.

HR will identify a suitable Senior Manager to hear the appeal. You can be accompanied at the appeal meeting by a work colleague who is a colleague of Compliance Group Limited or a Trade Union representative.

In the event of an appeal being lodged, the termination date will not be changed unless the outcome of the appeal is that you are reinstated, in which case you will receive back pay for any period in which you have not been on the payroll. You will be notified of the outcome of the appeal in writing.

Appeals can be made on the following grounds:

On the basis of the information presented by the colleague the manager/director hearing the appeal may reach one of the following conclusions:

The outcome of the appeal will be final and there is no further internal right of appeal. Any dismissal under this procedure will remain in force pending the outcome of any appeal.

6.4 Redundancy Payments

If your role is redundant, you are eligible to receive a statutory redundancy payment, unless you have unreasonably refused an offer of suitable alternative employment.

The Company will calculate redundancy payments using the statutory calculation as a template.

You must have 2 years’ continuous service to be eligible.

Any redundancy pay up to £30,000 will be paid free of normal deductions after you have left company service, any sum over this amount is subject to your normal marginal rate tax deduction and national insurance deductions.

Download our Redundancy Policy here

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