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What is redundancy bumping?

Redundancy bumping, also known as redundancy transfer, is when you have an employee (A) who is at risk of redundancy; however, instead of dismissing them, they are instead offered a role belonging to another employee (B) and then they (employee B) are made redundant instead.

For example, if employee A was being considered for redundancy and employee B was in a lower or horizontal position, it would be considered redundancy bumping if employee A was offered employee B's role and employee B was made redundant instead.

This is not a common practice and is fully legal as long as all the other fair and clear redundancy procedures have been followed. When an employer is looking to make redundancies, they may have to consider redundancy bumping as an option during a fair process. However, they are not obliged to commit to redundancy bumping.

In case law, there have been a handful of cases, including the much-cited Mirab v Mentor Graphics UK (2018) case, where employees who were made redundant won their unfair dismissal cases as their employer did not consider redundancy bumping as part of the suitable alternative employment procedure. In other cases, such as Samels v University of Creative Arts case, the courts have commented that redundancy bumping can have a damaging effect on employee relations.

When deciding on whether bumping should be part of the redundancy process, the employer should consider:

  • Whether there is a vacancy
  • How different the two jobs are
  • The difference in remuneration between the two jobs
  • The two employees’ relative length of service
  • The qualifications of the employee in danger of redundancy

Generally, redundancy bumping, including whether it should be considered and is appropriate for the circumstances, should be taken on a case by case basis and may ultimately be for a tribunal to decide.

 

What if you’re a victim of bumped redundancy?

If you are a victim of bumped redundancy, your employer must ensure that the reasons why you were chosen to be made redundant were fair and clear and not as a result of discrimination. It is possible to challenge your redundancy by either speaking to your employer or writing them a redundancy appeal letter. However, if you have worked for your employer for less than two years then you will not be entitled to any redundancy rights and may not be able to claim for unfair dismissal. However, if you believe you have been selected for redundancy due to discrimination under the protected characteristics outlined in the Equality Act 2010, you may be able to make a claim against your employer. You can also make a claim if you have been selected because you have made a health and safety complaint, or you are a whistle-blower.

Bumping redundancy: unfair dismissal

If you think your redundancy is unfair and believe your employer did not consider redundancy bumping when they should have, then we may be able to help you to make an unfair dismissal claim. Also, if you have been dismissed due to redundancy bumping and you believe it was due to discrimination or that the process was unfair then you may be able to bring a claim against your employer. Our expert solicitors are highly experienced when it comes to dealing with employment disputes and employment tribunals. Contact us today on 0161 696 6170.

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