What happens when a company undergoes a restructuring?
When a reorganization or restructuring occurs, these statistics can be exacerbated by immediate pressure from three inevitable challenges: • Higher voluntary employee turnover: There’s often high uncertainty among employees about the future of the company.
What do you mean by restructuring and redundancy?
Undertaking a process of restructuring and redundancy When we talk about restructuring and redundancy, this is where changes are made to the organisational structure or roles within a company or organisation, removing the need for work of a particular kind.
What happens if a job role is no longer needed?
Just because the job role is no longer needed, doesn’t mean you’re safe from unfair dismissal claims. Here’s everything you need to consider: You may need to restructure the business in order to stimulate growth. Or, if your organisation is struggling financially. Whatever the reason, a restructure usually entails redundancy.
How does a restructure affect a department name?
The proposed restructure will directly affect you, as your team would be merged with the <Department Name> department. At this stage, no firm decisions have been made. This letter is intended to make you aware of the proposed changes and begin a formal consultation process with you.
Why do companies have to restructure their business?
There can be a whole variety of reasons why an organisation might decide to restructure, including: Not all of these reasons require people to leave the business. But there are conditions where a company restructure leads to redundancy. Generally, these reasons boil down to one thing: saving money.
Undertaking a process of restructuring and redundancy When we talk about restructuring and redundancy, this is where changes are made to the organisational structure or roles within a company or organisation, removing the need for work of a particular kind.
Can a person be sacked because of a restructuring?
If there are jobs in the restructuring for which you are suitable and qualified, you should normally be offered one of those jobs before they are offered to an external candidate. Otherwise there is a danger that your dismissal will be unfair.
Can a company restructure with protection of undertakings?
If your company is undergoing a merger or transfer, your employees may be protected by the Transfer of Undertakings (Protection of Employment) regulations. If this is the case, get TUPE advice here. There can be a whole variety of reasons why an organisation might decide to restructure, including: