More than 20 or more redundancies? Here's whats's new.
PH763790 • 9 January 2026
Collective Redundancies
Collective Consultation in Redundancy: What’s Changed?
What is Collective Consultation?
Collective consultation is a statutory process employers must follow when proposing to make 20 or more redundancies at one establishment within a 90‑day period. The aim is to consult with employee representatives about ways to:
- Avoid redundancies
- Reduce the number of redundancies
- Mitigate the consequences of redundancies
Failure to comply can result in significant financial penalties.
What Are the New Rules?
Recent legal developments have clarified how collective consultation thresholds should be assessed.
Key Change
The requirement to collectively consult is now triggered by the total number of redundancies across the organisation, not just at a single site, where dismissals are connected.
This means:
- Employers must look beyond individual workplaces
- Redundancies forming part of the same proposal may need to be aggregated
- Collective consultation may be required more often than previously thought
When Does Collective Consultation Apply?
Collective consultation is required when:
- 20 or more redundancies are proposed
- Within a 90‑day period
- Where dismissals are part of the same proposal, even if spread across locations
Who Must Be Consulted?
Employers must consult with:
- A recognised trade union, or
- Elected employee representatives
Consultation must be meaningful and take place before final decisions are made.
Minimum Consultation Periods
The minimum consultation periods remain unchanged:
- 20–99 redundancies: at least 30 days before the first dismissal
- 100+ redundancies: at least 45 days before the first dismissal
Employers must also notify the Secretary of State using form HR1.
Risks of Getting It Wrong
If collective consultation obligations are breached:
- Employment Tribunals can award a protective award of up to 90 days’ gross pay per affected employee
- Reputational damage and employee relations issues may arise
Practical Steps for Employers
- Review redundancy proposals across the whole business
- Identify whether redundancies are connected
- Start consultation early
- Keep clear records of decision‑making and consultation
- Take legal advice where thresholds may be met
How WH Legal Can Help
We advise employers on:
- Redundancy planning and compliance
- Collective consultation obligations
- Election of employee representatives
- Risk management and dispute avoidance
If you are planning redundancies, early advice can significantly reduce risk.
WH Legal
Employment Law Specialists
Disclaimer: This fact sheet is provided for general information purposes only and does not constitute legal advice. No action should be taken, or refrained from, on the basis of this information without seeking specific legal advice from WH Legal in relation to your individual circumstances. WH Legal accepts no responsibility for any loss arising from reliance on this document without such advice.
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