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In this scenario, you would go through redundancy processes instead of simply firing people. Depending on the laws and the country, it involves consultations,
by deltaknight 2y ago
In this scenario, you would go through redundancy processes instead of simply firing people.
Depending on the laws and the country, it involves consultations, handing out offers for alternative roles in the company, mandatory notice periods and timelines, and severance pay.
Or what many multinationals do, you offer non-legally-redundancy severance deals by paying the employees out.
Severance already happens in many industries in the US, however it’s generally only for those paid very well, which arguably need the legal protections less. So such laws are designed to level the play field and prevent abuse of the system. For instance, if you make an accountant redundant, you can’t go and hire another one for a period of time because that means the role was required the whole time. If you want to remove a specific person from a role, you fire them for cause (say bad culture fit or inadequate work) or offer them a payout to leave.