Collective Consultation

If your employer is proposing changes that may affect a group of employees, such as redundancies or changes to terms and conditions, they may be required by law to undertake a collective consultation process. Understanding your rights during this process can help protect your interests. Here’s some guidance:

1. What is Collective Consultation?

Collective consultation is a legal requirement that applies when an employer is considering making significant changes that will affect multiple employees, such as large-scale redundancies or changes to employment terms and conditions. In the UK, the requirement for collective consultation is triggered when the employer is proposing to dismiss or change the contracts of 20 or more employees at one establishment within a 90-day period.

2. When Collective Consultation is Required

• Redundancies: If the employer is proposing to make 20 or more employees redundant within a 90-day period.
• Changes to Employment Terms: If an employer plans to change the terms and conditions of employment (such as pay, working hours, or job duties) for 20 or more employees.
• Business Transfers (TUPE): In the event of a business transfer under the TUPE regulations, collective consultation may also be required.

3. Your Rights During Collective Consultation

• Representation: If a collective consultation is required, the employer must consult either with recognised trade union representatives or, if there is no union, with elected employee representatives. As an employee, you have the right to representation during this process.
• Information Provision: The employer must provide certain information in writing, including:
  • The reasons for the proposed changes or redundancies.
  • The number and roles of employees affected.
  • The proposed selection criteria (if redundancies are involved).
  • The process and timeline for implementing the changes.
• Consultation Periods:
  • If 20-99 employees are affected, consultation must start at least 30 days before any dismissals take effect.
  • If 100 or more employees are affected, consultation must begin at least 45 days before any dismissals.
  • The consultation must be conducted “in good faith” with the aim of reaching agreement. Employers are expected to consider alternatives to redundancy, minimise the impact on employees, and explore ways to avoid the dismissals altogether.

4. Involvement in the Consultation Process

• Engage with your Representatives: Whether you are represented by a trade union or elected representatives, it’s essential to stay informed and actively engage with them. Your representatives will convey your concerns and suggestions to management during negotiations.
• Elect Representatives: If there is no trade union, your employer must organise an election for employee representatives. You have the right to nominate and vote for these representatives.
• Provide Feedback: You should be given an opportunity to provide input on the proposed changes. Make sure your voice is heard, whether through your representatives or directly if permitted.

5. Potential Outcomes

• Agreements: If an agreement is reached, the employer may proceed with the changes as planned, but potentially with some modifications based on employee feedback.
• No Agreement: If no agreement is reached, the employer can still proceed with the changes, but they must ensure they have met the legal requirements for consultation. Failure to do so could result in claims for unfair dismissal or protective awards (compensation for failing to consult properly).

6. What to Do If You’re Unhappy with the Process

• Raise Concerns: If you feel that the consultation process is not being conducted properly, raise your concerns with your representatives or union, or directly with your employer.
• Seek Legal Advice: If you believe the collective consultation has not been properly followed or that your rights are being infringed, you may wish to seek legal advice from an employment solicitor. In cases where the employer fails to comply with collective consultation requirements, employees may be able to claim a protective award through an employment tribunal.

7. Protective Awards

• Protective Awards: If an employer fails to comply with the legal requirements for collective consultation, affected employees may be entitled to claim a protective award, which can be up to 90 days’ gross pay per affected employee. This claim must be brought within three months of the dismissal or the end of the consultation process.

8. Stay Informed

• Keep Updated: Stay informed about the progress of the consultation process, including any proposals, feedback, or decisions that affect you.
• Ask Questions: If you have concerns or are unsure about any aspect of the process, don’t hesitate to ask your representatives or employer for clarification.

Conclusion

Collective consultation is a process designed to ensure that employees have a voice when significant changes are being proposed in the workplace. It provides a framework for negotiation and can help mitigate the impact of redundancies or other contractual changes. Ensure you engage fully in the process, understand your rights, and seek advice if necessary. This will help you navigate any changes while safeguarding your interests.