Why Compliance with Redundancy Law Matters and the Risks of Getting It Wrong
- Employment Law
- 24th Sep 2025
Why Compliance Matters Redundancy law is strict and non-compliance carries heavy penalties. Employers must plan carefully, consult properly, and document every step. Good compliance helps avoid disputes and protects trust within the workforce. It also shows that the employer has acted fairly and reasonably. Risks of Non-Compliance Failing to meet redundancy duties can lead to: […]
By Amy Jefferson
mlplaw
Why Compliance Matters
Redundancy law is strict and non-compliance carries heavy penalties. Employers must plan carefully, consult properly, and document every step.
Good compliance helps avoid disputes and protects trust within the workforce. It also shows that the employer has acted fairly and reasonably.
Risks of Non-Compliance
Failing to meet redundancy duties can lead to:
- Claims for unfair dismissal
- Protective awards of up to 90 days’ gross pay per employee
- Criminal liability for failing to notify the Secretary of State
- Reputational damage that may affect recruitment and staff morale
Employers must also meet their obligations to pay statutory redundancy payments and deal correctly with tax and PAYE.
Conclusion
Compliance is not optional. Employers who fail to follow redundancy law face serious financial and legal consequences. Careful planning, consultation, and fairness are essential for a lawful redundancy process.
About the expert
Amy Jefferson
Paralegal - Employment Law
Following the completion of her undergraduate degree in Law, Amy started her legal career at a trade union law firm based in Sheffield in September 2022.
Amy’s interest in legal practice began following a series of trips to the Manchester Crown Court public gallery with her Grandad. What started as a few day trips sparked a real interest in legal practice and a few years later she undertook work experience with a high street firm in Bramhall specialising in employment law.
This area was further explored during university by studying an elective module in employment law and completing a part time work placement in employment law alongside studies in her final year. After university, looking to explore her options she began working in personal injury. However, quickly missing the pace and range of employment law, she returned to the area and has found the work to be meaningful and rewarding.
In her spare time, Amy likes to attend live music events and go for walks in the Peak District.
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