Can Employees Be Made Redundant While Working Remotely?

Employees working remotely have the same redundancy rights as employees working on-site. UK employment law does not distinguish between home-based, hybrid, or office-based workers when assessing redundancy. The legal test focuses on whether the role is genuinely no longer required by the employer, not where or how the employee performs their duties.

Remote working arrangements became significantly more common following changes in working practices, but redundancy law in England and Wales remains based on the same statutory framework under the Employment Rights Act 1996. The key issue is whether there is a genuine redundancy situation and whether a fair process is followed.

What Counts as Redundancy in Remote Working Situations

A redundancy occurs when an employer dismisses an employee because:

• The business closes or reduces operations
• The workplace closes or relocates
• The need for employees to carry out work of a particular kind ceases or diminishes

These principles apply equally to remote employees.

Government guidance confirms that redundancy arises where the role itself is no longer needed, regardless of working location or contractual working pattern.

Can Remote Employees Be Selected for Redundancy?

Yes. Employees working remotely can be included in redundancy selection pools in the same way as office-based staff.

Employers must ensure that selection is:

• Fair
• Objective
• Based on relevant business criteria

Common lawful selection criteria include skills, experience, performance, and qualifications.

Remote working status alone cannot be used as a justification for selection. However, in practice, remote employees may be affected where:

• The role is tied to a specific office or location that is closing
• The employer restructures teams to require on-site presence
• The business changes operational requirements, such as requiring hybrid attendance

Remote Working and “Genuine Redundancy” Issues

One of the most common legal disputes is whether redundancy is genuine or whether it is being used to remove remote working arrangements.

A redundancy is more likely to be lawful where:

• The entire role disappears
• Work is outsourced or automated
• The employer restructures teams across locations

It may be legally risky where:

• The same role continues but is moved to a different working model (for example, forcing office return)
• New employees are hired to perform substantially the same work
• Only remote workers are selected without objective justification

In such cases, tribunals may examine whether the dismissal was actually for redundancy or for another reason, such as refusal to change working conditions.

Consultation Duties for Remote Employees

Employers must consult with employees at risk of redundancy, even if they are working from home.

Consultation must be:

• Meaningful
• Timely
• Individual (where fewer than 20 redundancies are proposed)
• Collective where legally required

Communication may take place via:

• Video meetings
• Telephone calls
• Written correspondence
• Email

There is no requirement for physical presence in the workplace for consultation to be valid.

Failure to properly consult remote workers can support claims for unfair dismissal.

Selection Pools and Fair Process in Remote Work Contexts

A key legal requirement is identifying a fair “selection pool”.

For remote workers, employers should consider whether the pool includes:

• Remote employees
• Hybrid employees
• Office-based employees performing similar roles

A narrow pool limited only to remote staff may be unfair unless there is a clear business justification.

Once the pool is defined, employers must apply objective scoring criteria consistently across all employees.

Suitable Alternative Employment for Remote Workers

Before confirming redundancy, employers must consider whether suitable alternative employment exists.

This may include:

• Other remote roles within the organisation
• Hybrid roles
• Office-based roles (if reasonable in the circumstances)

Under redundancy law principles, employees should be offered suitable vacancies where available before dismissal is confirmed.

Where roles are suitable, refusal without good reason may affect entitlement to redundancy pay.

Redundancy Pay for Remote Employees

Remote employees are entitled to the same statutory redundancy pay as any other employee if they meet eligibility criteria:

• At least two years' continuous employment
• Employee status under the contract
• Genuine redundancy dismissal

Statutory redundancy pay is calculated based on:

• Age
• Length of service
• Weekly pay (subject to statutory limits)

Working remotely does not reduce entitlement.

Common Scenarios Involving Remote Workers

1. Role continues but office return is required

If an employer insists on a return to office and dismisses remote workers who cannot comply, the legal question becomes whether this is redundancy or dismissal for refusal to change contract terms. This is often disputed.

2. Business restructure removes remote team

If a company closes a remote-only team but continues similar work elsewhere, tribunals may assess whether the redundancy is genuine or whether work has simply been relocated.

3. Hybrid restructuring

Where employers move from remote to hybrid models, redundancy may be lawful if roles genuinely change, but consultation and fair selection remain essential.

Legal Risks for Employers

Redundancy involving remote employees can create significant legal exposure if handled incorrectly.

Common risks include:

• Unfair selection based on working location rather than role requirements
• Failure to include remote workers in consultation
• Inadequate explanation of business rationale
• Replacement of remote workers with new hires performing the same duties
• Discrimination claims if remote working relates to protected characteristics (for example disability-related home working adjustments)

Employment tribunals will focus on substance over label, meaning they will examine whether redundancy is genuine or a pretext.

Challenging a Remote Worker Redundancy

Employees who believe redundancy is unfair may consider:

• Requesting written redundancy justification
• Reviewing selection scoring and pool definition
• Raising a formal grievance
• Submitting an employment tribunal claim

Potential claims include:

• Unfair dismissal
• Wrongful dismissal (contract breach)
• Discrimination, where applicable

Strict time limits generally apply (three months less one day from dismissal).

Key Takeaways

Employees can be made redundant while working remotely, but only where there is a genuine redundancy situation and a fair process is followed. Remote working status does not remove redundancy rights or alter legal protections. Employers must still define fair selection pools, consult properly, consider alternative roles, and ensure decisions are based on business needs rather than working location alone. Where redundancy is used to remove remote working without genuine role elimination, legal challenges may arise.