Navigating business change is complex and is often fraught with HR challenges. Whether it involves responding to a seismic event like a global pandemic, changing business location, or dealing with the loss of a key customer or contract, dealing change is never easy.

Liz Burley our employment law specialist, has identified the top three most common HR issues businesses face during business transitions, along with recommendations on how to handle them:

1. Redundancies

Managing redundancies is sensitive and requires meticulous planning. Ensuring compliance with legal requirements and procedures, providing adequate support to affected employees, and maintaining morale among remaining staff are critical aspects.

Recommendation

Develop a clear redundancy policy, ensure managers are well trained to handle redundancy consultation meetings, conduct fair selection processes, and offer outplacement or other support to help affected employees transition smoothly.

2. Employee Consultation and Engagement

Effective communication is key. Businesses must engage in meaningful consultations with employees and their representatives. This involves clear, transparent discussions about the changes, their impact, and exploring alternatives to redundancy. Proper consultation helps in building trust, resolving conflict and mitigating legal risks.

Recommendation

Schedule regular meetings, provide detailed information about the changes, and be open to employee feedback and suggestions.

3. Changing Contracts and Policies

Business changes often necessitate amendments to employment contracts and company policies. Ensuring that any contractual changes are either permitted under existing contracts or are expressly agreed by employees is vital. Changes to core contractual terms are likely to need employee consent.  These might include changes to job roles, pay, working hours, or location.

Recommendation

Review contracts with legal experts, ensure all changes are documented in writing, and hold individual meetings to discuss changes with affected employees with a view to reaching agreement if necessary.

Addressing these issues proactively with expert guidance can ensure a smoother transition and help maintain a positive workplace culture. If your business is facing change, don’t hesitate to seek professional advice to navigate these challenges effectively.

Please contact us if you need assistance in managing HR issues during business change.