Can you rehire redundant staff?

29 September, 2017

You have made redundancies due to a downturn, but have just won a new tender. Can you re-engage some of the redundant employees?

The short answer is yes, you can.

But unless you are able to re-engage all employees that were made redundant you will need to be careful in the selection of those you are going to re-engage. There is a risk of an unfair dismissal claim coming from employees who may feel that their redundancies were not genuine when you begin re-hiring.

You should have clear records of the financial reasons that led to the decision to make employees redundant, and if you properly applied an objective selection matrix to decide which employees were chosen for redundancy, then you should consider applying a similar tool in deciding who is most suitable to re-engage.

It is also important to note that re-engaging staff within a short amount of time of their termination may also have an impact on leave entitlements.

For further help and advice, contact CCI’s Workplace Consulting Team on (08) 9365 7600 or email advice@cciwa.com