Top Reasons Why You Need a Lawyer During a Workforce Restructure

There are many reasons why business owners will want to restructure their business. Some businesses face economic conditions, which puts a strain on them. So to take some of the pressure off of the company, they will need a workforce restructuring. It most probably includes reducing surplus assets, addressing inefficiencies, and cutting or removing shifts. However, the redundancy that this process presents may have significant legal risks to the employers.

If you’re looking for a lawyer that can help you during your restructuring process, LC Lawyers is a law firm that provides expertise in this subject. It’s always necessary to protect yourself from any legal repercussions your business may face. So if you want to know what you need to do to avoid any legal case brought against you, consulting an employment lawyer is the next best thing to do.

Avoid Any Legal Risk Due to Redundancy

Workforce restructuring means you’re changing things up in your business to avoid losing it all. But on the other hand, you’ll be losing some of your employees. That means you no longer need a particular employee’s position. As a result, their position is made redundant because you no longer require anyone to perform the job due to operational changes. Some of these employees are entitled to redundancy pay or compensation. So it’s necessary that you need to know your legal obligations to your employees to avoid any damaging penalties.

You should know that all employees with industrial instruments, such as awards, collective agreements, and employment contracts have the right to redundancy pay. And the longer the employee has worked for your company, the higher the redundancy pay would be. They should at least work for your company for a minimum of 12 months, and you should have at least 14 employees.

Workforce Restructuring Procedure

Most businesses face a sudden restructuring due to economic, operational and financial, and market demand. So it’s necessary that you consider HR legal issues early on to avoid any problems down the road. So all employers must meet their required consultation and obligations to their employees. You should inform your employees that are affected by these sudden changes and then listen to their views. Explore all kinds of alternative employment options for the affected employees, and make sure you plan and record the redundancy process.

Redundancy is about the position and not the person. So you should be open to the different job roles your company needs, which could be an excellent fit for the employee affected by the redundancy. If you know that they have the capabilities to fill that role, it’s better to transfer them to that position, especially since they already know the ins and outs of your company. At the same time, you won’t have to face legal risks if you miss something during the whole process.