Redundancy is distressing for employees and can lower staff morale and productivity. It should therefore be a last resort.

This factsheet suggests alternatives to redundancy and provides guidance on managing redundancy when it's unavoidable. It looks at the steps in the redundancy process, including identifying the pool for selection, seeking volunteers, selection for redundancy, consulting employees, appeals and dismissals, suitable alternative employment and redundancy payments. Further information on managing the process is available on our redundancy guidance for people professionals.

Member tool: CIPD Buddy BETA
Experiment with AI to find answers on this topic with our prototype. Login to explore CIPD Buddy

Members access only

Unlock exclusive, tailored content and resources, just for members.

Sign in to access

Not a member yet? Find out how you can become a member today!

Related content

Report
Labour Market Outlook

Read our latest Labour Market Outlook report for analysis on employers’ recruitment, redundancy and pay intentions

Guide
Redundancy: Guidance for people professionals

This guide provides an overview of the step-by-step process for employers to manage the redundancy process

For Members
Guide
People manager guide: Redundancy

Advice for managers when a member of staff on their team faces redundancy

For Members
Bitesize research
Pay cuts as an alternative to redundancies

When cost savings are required, what is the impact of making pay cuts instead of redundancies?

For Members

Explore our other factsheets

Factsheet
Harassment and bullying at work

Understand what bullying and harassment at work is, and how employers and employees can address the problem

Factsheet
Bonuses and incentives

Understand the basics of bonuses and incentives, the trends in their application, and how to design and operate schemes effectively and ethically

For Members
Factsheet
Reward: an introduction

Introduces the basics of reward, which includes pay and benefits, and outlines the UK legal position

Factsheet
Zero-hours contracts

Understand the advantages and disadvantages of zero-hours contracts, recent UK legislative changes, and good practices to follow

For Members
Factsheets