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Back to Human Resources Definitions

What is Redundancy

When an employer lets some of their workforce go as the roles are no longer required, this is known as redundancy. This is often confused with termination where a person is fired and replaced – that is not redundancy. It is only redundancy when the position no longer exists.
Redundancy often happens due to restructuring, when a company redefines positions and juggles around departments to create a new organizational structure. It can also occur when employers need to reduce staff numbers as a cost-cutting measure, the business shuts down, or there has been a merge with another company. Whether you get a severance package will depend on your company’s policies and how long you have worked for them.

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