Business Relocation & Redundancy
A Business Relocation can result in redundancies. Find out how best to handle it from an employer's perspective and know your rights as employees.
How to handle Redundancy Issues when a Business Relocates
When a business relocates, it is often forced to make changes to it's workforce. If a company is relocating to smaller offices and/or to reduce costs it can sometimes trigger the need to make some employees redundant.
Business Relocation and /or Redundancy are highly sensitive issues, but good communication between management and employees should help to minimise any stress or disruption.
What if an Employee doesn't want to Relocate?
Employee contracts should (and usually) contain a "mobility clause" which gives the employer the flexibility and right to change the location from which staff work, as long as they do so with sufficient notice and good consultation.
A mobility clause may stipulate that the employee may be called upon to work anywhere in the UK, or at any of the employer's offices. If the employment contract does not have a mobility clause, the employer may be breaking the contract if they wish to change the employee's place of work. Even if the contract does have a mobility clause, the employer must be reasonable about asking to change the place work by giving sufficient notice.
As soon as the decision is made to move offices, it is wise to start communicating the message to your staff, regardless of whether you intend to make any redudant or not. An office relocation can trigger fears of redundancy, so it is important to reassure and carry out individual / team consultations so that staff can ask questions and voice any concerns.
If your business is relocating and you need to make redundancies, it is strongly advised to take legal advice from a Property Solicitor who specialises in employment law matters.
Use the HR & Employment Law Checklist to ensure you fulfil your legal obligations as an employer correctly.
