Selection pools and assessment of criteria for redundancy

The guidance note on selection pools and assessment of criteria for redundancy delivers expert legal insights into the complexities of managing redundancies within Australian workplaces. Practitioners must understand the strategic formation of selection pools and the critical application of objective, fair criteria. This document addresses the legal boundaries that prevent misuse of redundancy as a performance management tool and highlights key consultation obligations. It references essential templates and precedents to support compliant processes.

Topics Covered

• Requirement to consult about potential redundancies
• Implementing dismissals because of job redundancies
• Sample redundancy selection matrix
• Sample redundancy assessment process

Essential Insights

• Evaluate how selection pools must align strictly with operational requirements, avoiding disguised performance dismissals.
• Consider nuanced legal requirements about consultation with employees and unions before finalising selection criteria.
• Assess the complexity of including employees with interchangeable skills while minimising the impact scope of the pool.
• Understand the delicate balance of objective, consistent application of criteria to mitigate risks of unfair dismissal claims.
• Prepare to justify selection decisions with robust, contemporaneous evidence to withstand general protections scrutiny.
• Recognise the impact of industrial instruments and precedent cases shaping lawful redundancy processes.