UK redundancies hit record high as Covid-19 drives up unemployment – as it happened | Business
“Even with furlough payments still available until March, today’s ONS figures show how the pandemic has played havoc with so many people’s livelihoods. With much of the country in, or about to enter, tier three, these restrictions will only cause further devastation as staffing requirements continue to see a downward trend, particularly in the hospitality and retail sectors.
“There’s a worry that a rapid rise in unemployment could indicate many businesses may need to consider restructuring or be at risk of insolvency. There’s also a concern over whether some businesses, who felt they have had to act swiftly to address their staffing levels to ensure survival, have handled redundancies and dismissals fairly, following proper procedures.
“As a result, we could be facing a wave of unfair dismissal and employment tribunal claims in 2021, which can attract liability for loss of earnings of £88,512 or 52 weeks gross salary currently. It has the potential to cause further damage to a business’ bottom line as they attempt to recoup the losses of this year, so seeking specialist legal support before embarking on staffing reviews is vital.”