According to a recent WorkNest poll, the vast majority (80%) of employers said budget cuts, low business demands, and inflation are driving their need to make redundancies; however, 74% of employers aren’t providing any training to their line managers to handle this.
While 24% of line managers have had generic well-being training, 82% have not received specific well-being training to handle redundancies. Line managers not being trained or supported to manage redundancies will inevitably lead to a rise in mental health issues with the undue stress of handling such challenging conversations.
Additionally, half of the employers (52%) aren’t considering providing outplacement support to help employees find a new job after redundancy. However, outplacement support can aid employees in building their CVs and assessing their future career goals and what they want to achieve out of their next role.
Danielle Scott, Employment Law Adviser and Solicitor at WorkNest, commented:
It’s important businesses are cautious if they are going through a redundancy situation and ensure they take legal advice before going ahead. They need to ensure employees selected for redundancy is a decision made objectively, and they are not discriminating in any form, e.g. ‘last in, first out’ and disability or pregnancy-related absences. Employers should consider if there are any alternatives to redundancy such as offering alternative employment or reducing hours instead?
Danielle Scott, Employment Law Adviser and Solicitor at WorkNest
With the national living wage increase in April and the economy forecast to contract in each quarter of 2023, more and more employers (11%) are increasingly becoming stressed that making redundancies may be their only option.
A rise in redundancy-related enquiries to WorkNest from employers looking for advice also reflects this. WorkNest revealed that queries concerning redundancy increased by 17.5% in the last three months (November 2022 to January 2023) compared to the previous three months (August 2022 to October 2022).
WorkNest’s HR Consultant, Louise Harvey, added:
Unfortunately, line managers often get forgotten about when redundancy situations occur, and it can be difficult for them to make sure any members of their team being made redundant feel supported. It’s, therefore, essential to ensure line managers are trained on how to handle a redundancy process. Sometimes, their team are not just colleagues, but friendships may have formed as well. So, it’s crucial to support line managers in dealing with the emotional aspect of it all.
Louise Harvey,, WorkNest’s HR Consultant
Research by WorkNest, the employment law, HR consultancy and health and safety support firm, questioned 227 employers on handling redundancies in January 2023.
Joanne is the editor for Workplace Wellbeing Professional and has a keen interest in promoting the safety and wellbeing of the global workforce. After earning a bachelor's degree in English literature and media studies, she taught English in China and Vietnam for two years. Before joining Work Well Pro, Joanne worked as a marketing coordinator for luxury property, where her responsibilities included blog writing, photography, and video creation.