This guide is maintained as a current resource for September 2026 and covers only the laws of England and Wales. Information is for general guidance, not legal advice. Consult a qualified solicitor for advice specific to your situation.
Explains when redundancy consultation must begin under UK employment law, including individual and collective consultation rules, statutory timing requirements, legal obligations under the Employment Rights Act 1996 and TULRCA, and tribunal consequences in England and Wales.
Redundancy consultation is a mandatory part of the redundancy process in the UK. It is not optional once redundancy is genuinely proposed. Employers must begin consultation at a legally appropriate stage to ensure employees are informed, given an opportunity to respond, and allowed to influence outcomes such as avoiding dismissal, reducing numbers, or improving selection fairness.
In England and Wales, consultation requirements arise under the Employment Rights Act 1996 and the Trade Union and Labour Relations (Consolidation) Act 1992 (TULRCA). The timing of when consultation must begin is one of the most important legal safeguards in redundancy law, and failure to comply can result in tribunal claims and financial penalties.
Legal purpose of redundancy consultation
Consultation is a structured dialogue between employer and employee (or employee representatives) aimed at:
- explaining why redundancies are being considered
- exploring ways to avoid dismissals
- reducing the number of employees affected
- limiting the impact on those at risk
It must be genuine and meaningful, not a formality after decisions have already been made.
UK law and guidance confirm that consultation must take place before final redundancy decisions are implemented, and ideally before selection is fixed.
When consultation must begin in individual redundancy situations
Where fewer than 20 redundancies are proposed, there is no fixed statutory start date. However, legal principles require consultation to begin as soon as redundancy is “proposed” and while the outcome is still capable of being influenced.
This means:
Consultation should begin when:
- redundancy is under serious consideration
- employees are placed “at risk”
- restructuring plans are announced that may lead to dismissal
- selection criteria are being developed or applied
Consultation is too late if:
- the employer has already decided who will be dismissed
- roles have already been permanently removed without discussion
- consultation occurs only after termination notices are issued
Courts and tribunals assess whether consultation was genuine and capable of influencing the decision, rather than simply confirming an outcome.
When collective redundancy consultation must begin
Where 20 or more redundancies are proposed at one establishment within a 90-day period, stricter rules apply.
In these cases, consultation must begin:
- at least 30 days before the first dismissal (20–99 redundancies)
- at least 45 days before the first dismissal (100 or more redundancies)
In practice, this means consultation must start well before any notice of dismissal is issued and before final decisions are made.
Employers are also required to notify the Redundancy Payments Service before dismissal notices are given in collective redundancy situations.
The key legal test: “in good time”
Outside strict collective thresholds, the law requires consultation to begin “in good time”. This is not defined precisely but is interpreted by tribunals based on:
- whether employees had a real opportunity to respond
- whether proposals were still open to change
- whether consultation was conducted before final decisions
- whether meaningful alternatives were considered
If consultation begins too late, it is likely to be treated as procedurally unfair dismissal.
Stages of a lawful redundancy consultation process
A compliant consultation process typically begins early and develops in stages:
1. Initial warning stage
Employees are informed that redundancy is being considered and placed “at risk”.
2. Information sharing stage
Employers provide:
- business reasons for redundancy
- proposed changes
- potential numbers affected
- selection methods
3. Discussion stage
Employees can:
- challenge the need for redundancy
- propose alternatives (reduced hours, redeployment, job sharing)
- comment on selection criteria
4. Ongoing review stage
Employers must consider feedback and adjust proposals where appropriate.
5. Final decision stage
Only after consultation ends may dismissal notices be issued.
When consultation is considered invalid
Consultation may be legally defective where:
- decisions are already final before consultation begins
- employees are not genuinely able to influence outcomes
- consultation is rushed or purely procedural
- selection criteria are fixed without discussion
- alternatives are not properly considered
Tribunals often focus on whether consultation was “meaningful” rather than simply whether meetings took place.
Individual vs collective consultation timing
Individual consultation
Required in all redundancy situations involving employees. It should begin:
- immediately after redundancy risk is identified
- before selection is finalised
- early enough to allow discussion of alternatives
Collective consultation
Required when legal thresholds are met. It must:
- begin before dismissal decisions are final
- run for minimum statutory periods depending on numbers affected
Both processes may run in parallel, particularly in large restructures.
Consequences of failing to start consultation in time
Failure to begin consultation at the correct time can result in:
Protective awards
Employment tribunals may award compensation for failure to consult in collective redundancies. This can be up to 90 days' pay per employee (and is increasing under legislative updates).
Unfair dismissal claims
Even in smaller redundancies, late or absent consultation can render dismissals unfair.
Discrimination claims
Poorly timed consultation processes can also expose employers to Equality Act 2010 claims if certain groups are disproportionately affected.
Practical indicators that consultation should already have started
Employees are generally “in consultation territory” when:
- redundancy is announced publicly or internally
- a “selection pool” is identified
- scoring systems are introduced
- meetings are held to discuss at-risk roles
- job descriptions are being restructured
At this stage, consultation should already be underway or imminent.
Common legal questions
Can an employer decide redundancy before consultation starts?
Employers may form a provisional business view, but final decisions must not be fixed before consultation.
Is consultation required if I am the only employee affected?
Yes. Individual consultation is still required even for single redundancies.
Can consultation start after selection has been made?
It may be lawful only if the decision is genuinely provisional and open to change. Otherwise, it is likely to be unfair.
Does consultation have to end in agreement?
No. Employers must consider employee input but are not required to agree to proposals.
Key Takeaways
A redundancy consultation must begin once redundancy is genuinely proposed and while there is still scope to influence outcomes. In smaller redundancy situations, this means starting early in the decision-making process, not after selection has been finalised. In collective redundancies, strict statutory minimum periods apply before dismissals can take effect.
The key legal requirement is that consultation must be meaningful, timely, and capable of affecting the outcome. Failure to begin consultation at the correct stage can lead to tribunal claims for unfair dismissal or protective awards.
