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A ‘redundancy’ occurs when an employer decides that no longer need an employee’s job done by anyone. Certain changes in the workplace can bring about a redundancy, such as the introduction of new technology, a reduction in sales or production, the closing down of a business or part of a business, and the restructuring of a business.
The FWA sets out the redundancy payment an employee is entitled to receive if they are made redundant. This is based on the period of continuous service with their employer.
It may be the case that a ‘redundancy’ is not a ‘genuine redundancy’ for the purposes of the FWA. This can occur if it would have been reasonable for the employee to be redeployed within the business or the employer has failed to comply with any consultation provisions contained within a modern award or enterprise agreement.
If a redundancy is not genuine, then an employee who has been terminated due to a purported redundancy can make an unfair dismissal application to the FWC.
Sibley Lawyers can assist in ensuring you have received the correct redundancy payment and advise if your redundancy was a ‘genuine redundancy’ under the FWA.
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