Workplace change: managing restructuring and redundancy

Existing financial constraints have had significant impact on the operational requirements of business. Some businesses have made the difficult decision to review existing structures and arrangements. In some instances, this review has resulted in the determination of existing roles as redundant.

VECCI’s industrial relations-workplace relations team can help ensure that your business restructuring meets the requirements of the Fair Work Act 2009.

 In addition to the many demands facing business today, the Fair Work Act 2009 introduces new and complex requirements around redundancy and termination. As of 1 January 2010, all national system employees will have access to redundancy pay under the National Employment Standards. The term ‘redundancy’ will also be newly defined by the Fair Work Act 2009. Fair Work Australia will consider a range of new factors to determine whether a position was genuinely redundant, including whether or not it was reasonable for the employee to be redeployed to an associated entity.

Businesses that make restructuring decisions without seeking expert advice are likely to encounter difficulties with the statutory and legal complexities, which may include defending decisions made in the context of Fair Work Australia, and in some instances, defending employee claims that the redundancy is not genuine.

VECCI industrial relations-workplace relations advisers will ensure that you manage your workplace change effectively.