Redundancy & Restructuring
Employment Law
Key Takeaway
We provide strategic, practical advice to employers and employees on all aspects of redundancy and workforce restructuring, from initial planning and consultation through to implementation and dispute management.
We provide strategic, practical advice to employers and employees on all aspects of redundancy and workforce restructuring, from initial planning and consultation through to implementation and dispute management. Our practice covers the full legal framework governing redundancy under the Fair Work Act 2009, the National Employment Standards, applicable modern awards and enterprise agreements, and the general law. We advise employers on genuine redundancy requirements, consultation obligations, redeployment opportunities, redundancy pay calculations, and management of legal risk. We also advise employees on their rights including consultation, redeployment, and redundancy pay entitlements.
Our restructuring practice extends beyond individual redundancy matters to include larger-scale workforce restructures, enterprise-wide redundancy programs, business sales and acquisitions, and business closures. We advise on strategic and legal aspects of workforce restructuring including identification of legal risks, development of communication and consultation strategies, management of employee selection processes, and implementation of the restructure. We work closely with clients' human resources teams, accountants, and other advisers to develop restructuring strategies that achieve commercial objectives while minimising legal risk.
Genuine Redundancy & Operational Requirements
For a redundancy to be genuine under section 389 of the Fair Work Act, the employer must no longer require the person's job to be performed by anyone because of changes in the operational requirements of the enterprise. Operational changes can include technological changes, organisational restructures, changes in work volume, relocation of business, business closure, or financial difficulties requiring workforce reduction. The key question is whether the job itself has been genuinely made redundant rather than the employee replaced. We advise on compliance with consultation obligations under modern awards and enterprise agreements.
Redeployment Obligations & Avoiding Unfair Dismissal Risk
For a redundancy to be genuine, it must not have been reasonable in all the circumstances for the person to be redeployed within the enterprise or an associated entity. This redeployment obligation is one of the most important and often overlooked aspects of redundancy. We advise employers on conducting comprehensive searches across the enterprise and associated entities, providing information to employees about available positions, assessing employees against selection criteria, and documenting the redeployment process. We also advise on factors relevant to determining whether a redeployment opportunity is reasonable.
Redundancy Pay & NES Entitlements
The National Employment Standards provide an entitlement to redundancy pay based on the employee's period of continuous service, ranging from four weeks for one to two years of service up to twelve weeks for ten or more years. We advise on calculation of redundancy pay including base rate of pay and continuous service. Exclusions from the entitlement include small business employers, employees engaged for a specified period, and employees whose employment is terminated because of ordinary and customary turnover of labour. We advise on reduction of redundancy pay where acceptable alternative employment is obtained and the employee unreasonably refuses the offer.
Workforce Restructuring & Transfer of Business
Larger-scale workforce restructures present complex challenges extending beyond individual redundancy considerations. We advise on enterprise-wide redundancy programs including program framework, consultation strategy, communication strategy, selection criteria, support for affected employees, and post-program evaluation. For business sales, we advise on the transfer of business provisions under the Fair Work Act, including transmission of certain employment entitlements and recognition of continuous service. We advise on circumstances in which a transfer of business occurs, entitlements that transfer, and obligations of transferring and receiving employers.
Redundancy & Restructuring FAQs (Queensland Law)
What is genuine redundancy?
At our firm, genuine redundancy under the Fair Work Act occurs when an employer no longer requires the job to be performed due to operational changes. The employer must comply with consultation obligations and consider redeployment opportunities.
What consultation requirements apply to redundancy?
Under the Fair Work Act, our team advises that if an employer decides to make 15 or more employees redundant, they must notify and consult with affected employees and their representatives. Modern awards and enterprise agreements may have additional requirements.
What is NES redundancy pay?
Under the National Employment Standards, employees are entitled to redundancy pay based on service: up to 4 weeks for 1 year, up to 12 weeks for 8-9 years, and up to 16 weeks for 10+ years. our team advises that Small business employers (fewer than 15 employees) are exempt.
What redeployment obligations apply in Queensland?
At our firm, employers must consider redeployment of redundant employees to suitable alternative positions within the organisation or related entities. Failure to consider redeployment may render a redundancy not genuine and expose the employer to unfair dismissal claims.
How is redundancy managed in Queensland specifically?
At our firm, queensland has no specific redundancy laws beyond the national Fair Work Act framework. However, the Queensland Industrial Relations Commission may have jurisdiction for certain Queensland government employees not covered by the federal system.
Redundancy & Restructuring Services
- Advice on genuine redundancy requirements under section 389 of the Fair Work Act including the operational requirements test
- Consultation on redundancy under modern awards and enterprise agreements including content, process, and documentation
- Redeployment obligations including identification of suitable positions and assessment of reasonableness
- Redundancy pay calculations and entitlements under the National Employment Standards and applicable industrial instruments
- Workforce restructuring including enterprise-wide redundancies, business closure, and operational change programs
- Selection criteria for redundancy including development and application of objective selection matrices
- Voluntary redundancy programs including documentation and management of offers and acceptances
- Transfer of business under the Fair Work Act including transmission of employment entitlements and service
- Managing legal risk in redundancies including unfair dismissal, general protections, and anti-discrimination risks
- Advice to employees on redundancy rights including consultation, redeployment, and redundancy pay entitlements
- Representation in disputes arising from redundancy including Fair Work Commission proceedings
- Separation deed and deed of release preparation for employees affected by redundancy and restructuring
Last updated: July 2026
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