If my role is being relocated, is this a redundancy?

What is a redundancy?

A redundancy is when an employee’s employment is terminated due to their job role no longer being required. The following are examples of when a redundancy situation may occur:

• Employer decides to close their whole business;
• Employer decides to close a part of a business or an office;
• The requirements of the employer change and they no longer need employees to carry out work of a particular kind; or
• The requirements of the employer change and they no longer need employees to carry out work of a particular kind at a particular place.

What if my role is being relocated to a different country?

If a role is moved to a different country, the dismissal of an employee who cannot or does not wish to relocate may be considered a redundancy dismissal under section 139 of the Employment Rights Act 1996 (ERA 1996). This is because redundancy includes situations where the employer ceases to carry on business at the place where the employee works, or where the requirement for employees to carry out work of a particular kind at that location ceases or diminishes. However, whether such a dismissal is fair or unfair depends on the employer’s adherence to the principles of fairness and reasonableness under section 98(4) of the ERA 1996.

If my role was being relocated, what would render my dismissal fair?

For a redundancy dismissal to be fair, an employer must follow a fair procedure, which includes warning and consulting the employee, applying fair selection criteria, and considering suitable alternative employment.

If the role is moved abroad, the employer must demonstrate that reasonable steps were taken to explore alternative roles within the organisation or group, and that the employee was consulted about these options. Failure to do so may render the dismissal unfair and other cases.

Is there anything in my contract that would allow my employer to relocate my role?

The presence of a mobility clause in the employee’s contract may affect the analysis. If the contract allows the employer to relocate the employee unilaterally, the dismissal may not constitute redundancy. However, if the employer fails to exercise the mobility clause and instead dismisses the employee, this could give rise to claims of unfair dismissal.

Conclusion

Ultimately, the fairness of the dismissal will depend on whether the employer’s actions fall within the range of reasonable responses of a reasonable employer in the circumstances. This includes considering the employee’s personal circumstances, the feasibility of relocation, and the adequacy of consultation and alternative employment efforts

Employment Law experts

Whether you are an employer considering a restructure, or an employee that has found yourself in a situation where your job role is being relocated, please do reach out to our specialist employment solicitors who would be happy to assist you.

Get in touch today on 01202 525333 or email employment@ellisjones.co.uk to book in with one of our experts.