Making Redundancies Human: Guidance
Let's be honest about what's happening right now. At The People Consultancy, we're supporting more businesses through redundancies than we have in a long time. And whilst that's difficult to say, it's simply a reflection of where the economy is at the moment.
Businesses are in a tough place. Between economic pressures and increasing employment costs, many growing businesses are facing decisions they never wanted to make. If you're one of them, you're not alone—and there's no shame in needing to make difficult choices to protect your business's future.
But here's what I want to talk about today: even in the worst situations, you can still make redundancies a fundamentally human process. (related blog: the redundancy process)
The Three Dimensions You're Juggling
When you're facing redundancies in a small business, you're managing three distinct challenges simultaneously, and each one deserves proper attention.
The Legal Framework
First, there's the legal side. You need to tick every compliance box—not just to protect yourself from tribunal risk, but because employment law exists to ensure fairness and dignity in these situations.
Getting the legal process right isn't bureaucracy for its own sake. It's the foundation that allows you to conduct redundancies ethically and defensibly.
The Human Communication
Then there's the actual conversation you need to have with the person or people affected. And in a small business, this cuts deeper than it might in a larger organisation.
These aren't distant colleagues you've barely met. These are people you work alongside every single day. People you probably spend more time with than your own partner or family. You know about their lives, their challenges, their aspirations. They're not just employees—they're part of your business's story.
Delivering a redundancy message to someone you're genuinely close to requires extraordinary care and clarity.
Your Own Emotional Reality
Finally—and this often gets overlooked—there's your own emotional experience as the business owner making these decisions.
Redundancies are hugely, hugely stressful when you're the person who has to make them happen. The weight of knowing you're affecting someone's livelihood, the guilt even when you logically know the decision is necessary, the sleepless nights worrying about both the person leaving and the people staying.
Your emotional wellbeing matters too. You can't lead your business through difficult times if you're not protecting your own capacity to cope.
Clarity Is Kindness
One of my biggest frustrations with how redundancies sometimes unfold is ambiguity. When people don't know what's happening, when the timeline is unclear, when they're left guessing about their future—that's when the process becomes needlessly cruel.
In these situations, people need:
Clear information: What exactly is happening and why?
Transparent process: What are the steps, and when will each one occur?
Honest timelines: When will they know their outcome? When would their employment end?
Practical guidance: What happens with their notice period, their redundancy pay, their references?
Ambiguity might feel easier in the moment because it delays difficult conversations. But it actually multiplies the suffering for everyone involved. Clarity, even about terrible news, is fundamentally kinder than leaving people in limbo.
Pause Before You Rush
If redundancies are on your horizon, here's what I really want to encourage you to do: take time before you rush into anything.
I know the pressure feels immense. I know you want to "get it over with." But pausing to think through what this process is going to look like makes an enormous difference to the outcome.
Ask yourself: what would a good result actually look like here?
Because let's face it—this is a shit situation. There's no dressing that up. No amount of careful process makes redundancies pleasant or easy.
But there's a world of difference between a redundancy conducted with care, clarity, and genuine respect, and one that's rushed, ambiguous, or handled without proper thought.
The good result might look like:
An employee who understands the business reasons and doesn't feel personally blamed
A process that preserves the person's dignity and your relationship
Remaining team members who see you handled a terrible situation with integrity
You, as the business owner, knowing you did everything possible to make it bearable
Legal compliance that protects everyone involved
That's what we're aiming for. Not "making it fine"—because it won't be fine. But making it as humane as humanly possible.
The Conversation That Matters
When you deliver the actual redundancy message, think carefully about:
Your tone: Compassionate but clear. This isn't the moment for corporate-speak or hiding behind HR jargon. Be human. Be honest.
Your message: Focus on the business situation, not personal deficiencies. Help them understand this isn't about their worth or contribution.
Their questions: Give space for their reaction and their questions. Don't rush them through their shock or grief.
Practical next steps: What happens now? Tomorrow? Next week? Give them something concrete to hold onto when everything else feels uncertain.
Ongoing support: How will you support them during their notice period? What references will you provide? How can you help them transition to what's next?
Remember: how you handle this moment will be remembered long after the redundancy process concludes.
You Don't Have to Navigate This Alone
If you're facing redundancies, please know that support exists. You don't need to figure this out in isolation whilst managing all the other pressures on your plate.
Myself, Georgina, Caroline, and the whole team at The People Consultancy have extensive experience guiding businesses through this process. We've supported hundreds of redundancy situations, and we understand both the legal requirements and the emotional weight you're carrying.
We can help you:
Build a defensible business case and proper process
Plan communications that balance clarity with compassion
Manage your own emotional capacity through the process
Support your remaining team afterwards
Navigate the legal requirements with confidence
Sometimes you just need someone who's done this before to hold your hand through it. Someone who can help you make the best of a terrible situation.
If you need guidance, support, or simply someone to talk through your options with, please get in touch. We're here to help.
