Personnel Today
  • Home
    • All PT content
    • Advertise
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Equality, diversity and inclusion
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Maternity & paternity
    • Shared parental leave
    • Redundancy
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • XpertHR
    • Learn more
    • Products
    • Pricing
    • Free trial
    • Subscribe
    • XpertHR USA
  • Webinars
  • OHW+

Personnel Today

Register
Log in
Personnel Today
  • Home
    • All PT content
    • Advertise
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Equality, diversity and inclusion
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Maternity & paternity
    • Shared parental leave
    • Redundancy
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • XpertHR
    • Learn more
    • Products
    • Pricing
    • Free trial
    • Subscribe
    • XpertHR USA
  • Webinars
  • OHW+

Economics, government & businessLatest NewsEmployment law

Government makes own redundancy plan illegal

by Michael Millar 2 May 2006
by Michael Millar 2 May 2006

The government’s own redundancy scheme will be unlawful under the forthcoming age regulations, which were approved by Parliament last week, according to legal experts.

As a result, a large number of UK employers that have based their enhanced redundancy schemes on the Civil Service model could face discrimination claims worth millions when the new laws come into force on 1 October.

In an unexpected change to draft regulations, the final version makes redundancy schemes that offer enhanced versions of the statutory redundancy scheme unlawful unless they can be objectively justified.

This means that if a redundancy plan does not use the same age bands and multipliers as the statutory scheme, it could be held to be discriminatory unless employers can objectively justify it.

Jane Amphlett, partner at law firm Addleshaw Goddard, said the bar would probably be set high when employers try to justify their schemes during legal claims.

“If schemes don’t mirror [the statutory one] it could be expensive. Employers will have to increase payments to match the highest levels paid or they will have to change their terms and conditions, and some employees will lose out,” she said.

Sam Mercer, director of the Employers Forum on Age, has demanded clarification from the DTI on redundancy – the issue in the regulations she said had caused the most anxiety among employers.

“Many organisations will have renegotiated schemes in advance of the regulations,” she said. “They will have given staff notice of their new schemes, yet these could be unlawful.

“The ironic thing is that even the government’s own scheme doesn’t comply.”

A DTI spokesman claimed the Civil Service scheme would not be illegal. And the Cabinet Office said it was reviewing the scheme, “taking into account” the forthcoming age laws.

Alan Johnson responds

How can employers objectively justify their policies?

“Objective justification is a tough test. Employers will need to show that any age-based measure they take is a proportionate way of achieving a legitimate aim. If the legitimate aim can be achieved by non-discriminatory means, this must take precedence. The discriminatory effect of any age-based practice should be significantly outweighed by the benefits of a legitimate aim.”
Alan Johnson, secretary of state for trade and industry

For more from Alan Johnson
www.personneltoday.com/35007.article

Acas released guidelines on age regulations last week
www.personneltoday.com/35133.article

Avatar
Michael Millar

previous post
Burso v Langley and Carter
next post
Boring presentations are a yawn for most managers

You may also like

Are you a ‘quiet quitter’?

12 Aug 2022

July saw highest number of job adverts for...

12 Aug 2022

Transport sector recruitment ‘should be overhauled to improve...

12 Aug 2022

Liz Truss comments on Civil Service dismissed as...

12 Aug 2022

Hot summers, hot desks – employment law advice...

12 Aug 2022

Sharp rise in firms offering enhanced parental leave...

11 Aug 2022

Working in a heatwave: what should employers consider?

11 Aug 2022

Zero-hours contract benefits ‘can outweigh negatives for workers’

11 Aug 2022

Nearly 14,000 whistleblowing reports of furlough fraud received...

11 Aug 2022

Skills passport and new qualifications for care workers...

11 Aug 2022
  • 6 reasons why work-based learning is better than traditional training PROMOTED | A recent Fortune/Deloitte survey found that 71% of CEOs are anticipating that this year’s biggest business disrupter...Read more
  • Strengthening Scotland’s public services through virtual recruiting PROMOTED | This website is Scotland's go-to place for job seekers looking to apply for roles in public services...Read more
  • What’s next for L&D? Enter Alchemist… PROMOTED | It’s time to turn off the tedious and get ready for interactive and immersive learning experiences...Read more
  • Simple mistakes are blighting the onboarding experience PROMOTED | The onboarding of new hires is a company’s best chance...Read more
  • Preventing Burnout: How can HR help key workers get the right help? PROMOTED | Workplace wellbeing may seem a distant memory...Read more

Personnel Today Jobs
 

Search Jobs

PERSONNEL TODAY

About us
Contact us
Browse all HR topics
Email newsletters
Content feeds
Cookies policy
Privacy policy
Terms and conditions

JOBS

Personnel Today Jobs
Post a job
Why advertise with us?

EVENTS & PRODUCTS

The Personnel Today Awards
The RAD Awards
Employee Benefits
Forum for Expatriate Management
OHW+
Whatmedia

ADVERTISING & PR

Advertising opportunities
Features list 2022

  • Facebook
  • Twitter
  • Instagram
  • Linkedin


© 2011 - 2022 DVV Media International Ltd

Personnel Today
  • Home
    • All PT content
    • Advertise
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Equality, diversity and inclusion
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Maternity & paternity
    • Shared parental leave
    • Redundancy
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • XpertHR
    • Learn more
    • Products
    • Pricing
    • Free trial
    • Subscribe
    • XpertHR USA
  • Webinars
  • OHW+