Redundancy risks

Employment experts are warning that firms that opt for “last in, first out” redundancy polices could be liable for indirect discrimination claims. Head of employment at EMW Law, Jon Taylor, says it is imperative that employers be aware of the relevant age discrimination provisions if they need to lose employees during the “credit crunch”. “It is questionable whether such a policy would stand up at a tribunal as economic factors alone may not be strong enough grounds to justify it and such a broad-brush approach may not be seen as proportionate,” he says. He suggests that younger claimants may say it is more cost-effective to retain their services due to low pay and greater potential for productivity.