As an alternative to redundancy an employee may be redeployed.
Under section 389 of the Fair Work Act 2009 (Cth) a redundancy is not a genuine redundancy if the employer could have reasonably redeployed the employee.
The redeployment has to be reasonable, and what is reasonable is not defined in the Act, however factors to consider include have been considered in case law, and while what is reasonable will be determined on a case-by-case basis, some of the considerations can include things such as:
- Whether the employee has to relocate;
- The employees skill level and qualifications;
- Whether additional training will be provided, and the suitability of this training;
- The pay and other conditions of the position;
- Hours of work;
- The ease of transition into the new position; and
- The employees views about the reasonableness of the offer of redeployment;
There also must be consultation on redundancies and redeployments (see the Fair Work Ombudsman's website for more information on this).
Additionally some employees covered by enterprise agreements or other agreements or contracts may have additional rights in relation to redeployment. Some agreements will have specific procedures that must be followed in relation to redeployment.
It is best to consult your union or get legal advice if you are unsure about your rights or whether to accept or re-negotiate a redeployment rather than a redundancy payment.
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