Restructuring & Redundancy

Restructuring and redundancies are never fun. We can assist with your workplace diagnostic to help you determine the skills and capabilities you need now, and into the future to optimise your business and culture. From organisational design, to change management, we strive to take the pain away by providing accurate and timely leadership and/or advice, accompanied by the documentation and support you and your people need.

While the terms redundancy and restructuring are often used interchangeably, generally speaking redundancy occurs because a position is superfluous to the needs of the employer. Restructuring on the other hand typically refers to a broader reorganisation of an employer’s business or a specific role to meet the changing needs of the employer which may also result in redundancies depending on the extent of the changes.

Restructuring/redundancy processes must be undertaken in a procedurally fair manner which involves a formal consultation process with any affected employees and a proposal document that supported by a robust and genuine business case/rationale.

Restructuring/redundancy processes can be a very contentious area of employment relations. Recent data demonstrates that 67 per cent of restructure/redundancy-related personal grievances raised by employees were successful, let us ensure your get your process right. The average overall cost to an employer in relation to an employee’s successful claim in the Employment Relations Authority is approximately $60,000.00. These figures alone highlight the need to for employers to carefully plan and seek professional assistance before embarking on these processes. This is particularly important for those who are not familiar with this area of employment law.

You can access our A-Z guide on Restructuring and Redundancy here.

You can access our eLearning on Restructuring and Redundancy, Building Blocks of Resilience and Communication Bundle.

For expert assistance from our Legal or consulting team please contact us on 0800 300 362 or email adviceline@ema.co.nz.