Redundancies are one of the most challenging tasks HR professionals face. The emotional and logistical weight of navigating this difficult process can feel overwhelming. As an HR leader, you’re not just managing the process—you’re managing the emotional well-being of your people and the future success of your business. But with careful planning, empathy, and clear communication, it’s possible to support both the business and employees through this challenging process.
Here’s how you can guide your team through redundancy with empathy, care, and clarity.
1. Put People First
While redundancy is often a business necessity, the human side cannot be overlooked. The CIPD’s 2023 Labour Market Outlook survey found that 42% of employers are considering recruitment freezes as a way to avoid redundancies. This highlights the growing recognition of the potential harm to employee morale and trust when redundancies are not handled with care.
While many companies strive to avoid redundancy, there are times when it becomes a necessary step for the future success of the business. Acknowledging this fact early, and handling the process with care, will allow you to balance both business needs and employee well-being. Keeping your team informed about what’s happening, why it’s happening, and what steps are being taken to support those affected can help preserve trust, reduce dissatisfaction, and maintain a positive company culture. Remember, your people are the heart of your organisation.
2. Ensure Legal Compliance
Managing the legal aspects of redundancy can feel like navigating a minefield. With redundancy-related legal claims now potentially costing businesses up to £115,115 in unfair dismissal cases, the financial stakes are high. This underscores the importance of ensuring full legal compliance throughout the process. Proper documentation, clear communication, and legal guidance not only protects employees, but also shields the organisation from costly legal claims, ensuring both people and business interests are safeguarded.
3. Support the Affected Employees
Redundancy doesn’t have to be the end of your relationship with employees. Offering outplacement services can significantly impact the outcome. At Chiumento, we’re proud to share our 97% success rate of delegates achieving their objectives through our comprehensive outplacement programmes. Providing job search assistance, career coaching, and emotional support helps employees transition to their next opportunity with confidence—and enhances your employer brand. A 2023 study by the Society for Human Resource Management (SHRM) found that 79% of employees who received outplacement services felt positively about their former employer.
4. Minimise the Impact on Remaining Employees
The impact of redundancy isn’t just felt by those leaving. The remaining employees are likely to feel uncertain, anxious, or disengaged. Ensuring your remaining team feels supported and motivated is just as critical as managing the redundancy process itself. Offering support, reassurance, and clear communication will help maintain morale, productivity, and trust. A team that feels supported is a team that stays engaged.
5. Create a Clear Action Plan
Having a clear, structured redundancy plan ensures that everyone knows their role and what to expect. A well-organised approach reduces stress, prevents confusion, and ensures transparency throughout the process. This not only builds trust but also ensures a smoother transition for everyone involved.
Redundancy doesn’t have to be a journey you navigate alone.
At Chiumento, we offer expert, targeted, and compassionate outplacement support to help guide your team through these challenging times.