Redundancy
is dismissal for economic or organisational reasons — the role disappears, not the person’s performance. Law adds machinery at scale: collective-redundancy thresholds trigger consultation with employee representatives, notifications to authorities, social criteria for selection and, in several states, social plans with negotiated packages.
Running a compliant redundancy
- Check the thresholds: EU-derived rules trigger collective procedures from as few as 10 dismissals in 30 days (by establishment size) — miscounting voids process.
- Consult for real: information and consultation with works councils or representatives before decisions crystallise; France and Germany negotiate social plans.
- Select lawfully: objective criteria; several systems mandate social weighting (tenure, age, dependants).
- Notify authorities: labour-office filings with waiting periods in Germany, the Netherlands and others.
- Cost the package: statutory severance, enhanced plans, notice and litigation buffers — per country, before announcing.
FAQ
Is redundancy cheaper than performance dismissal?
Often procedurally safer but not cheaper: severance formulas and social plans attach to economic exits, while performance exits cost process time and litigation risk instead. The honest comparison is total cost and timeline per route in the specific country — numbers first, route second.
Can we rehire after redundancy?
Rehiring into the same role shortly after undermines the redundancy’s genuineness and invites claims; several systems impose re-employment priority for affected staff (France’s priorité de réembauche). Plan restructures so the org chart tells the same story the paperwork does.