Redundancies rush expected ahead of new work rights act

FIRMS PLANNING TO AVOID EXPENSIVE LAY-OFFS

- By MARIA WARD-BRENNAN

BUSINESSES plan to carry out a “cleanup” of redundancies by the end of the year in anticipation of the Employment Rights Act coming into force next January.

The government's plan to remove the unfair dismissal cap in its Employment Rights Act will lead to more claims, especially among higher-earning employees.

To avoid expensive layoffs in 2027, businesses are expected to make significant headcount changes by the end of Q4.