Construction bosses warned over legal costs of mass redundancies

Construction bosses have been warned to approach decisions on mass redundancies with caution to avoid costly legal mistakes.

Law firm Mace & Jones said mistakes during the redundancy process could leave bosses open to a “minefield of costly and time consuming process”.

Employment law partner Phil Allen said employment law was “easy” to get wrong without careful planning and expert legal advice.

“The process needs to be properly planned with a legal advisor,” he said.

His musts include:

• Holding a series of meetings. Full staff meetings and consultations with elected staff representatives are recommended;
• Convene one-to-one meetings before handing out written notice;
• Give staff the opportunity to respond to being placed at risk of redundancy;
• Discuss with staff an alternative way they could keep their job.

“Ultimately this is a highly sensitive process where it is easy to fall foul of the legislation,” Mr Allen said.

“It will run far more smoothly with considerable preparation and effective legal advice.”