Case Study – New Financial Strategy
Company Profile: National Qualification Awarding Body
Problem: The company needed to secure a new financial base, reduce fixed costs and meet new targets with regard to staff costs against income.
There had to be a sustainable financial baseline and grow their income. Staff resources did not meet the new target and this drove the business to decide to reduce staff costs.
The HR Consultancy worked with the CEO, the Management Team and the HR Manager to introduce a programme of compulsory redundancies. The process followed good practice and identified 25 jobs at risk. Staff were fully consulted and staff attended first and second meetings at which feedback was received.
Managers used a selection process scoring staff at risk against criteria provided by the HR Consultancy.
Thirteen staff were made redundant and two redeployed saving the company a significant amount. This assisted the company to meet its new financial target for 2013/14.
The process followed the ACAS Code of Practice.