Collective Redundancies and Industrial Action:

A Guide for Employees and Employers

‍Collective redundancies and industrial action are two of the most heavily regulated areas of UK employment law. Both involve strict statutory procedures and significant legal consequences where those procedures are not followed.

Employers proposing large-scale redundancies must consult employee representatives and notify the Government before dismissals take place. Likewise, trade unions organising industrial action must comply with detailed balloting and notification requirements before employees can lawfully strike.

This guide explains when collective consultation is required, how industrial action is regulated, and the rights and responsibilities of both employers and employees.

Collective Redundancy Consultation

When Is Collective Consultation Required?

Collective consultation applies where an employer proposes to dismiss 20 or more employees as redundant within a period of 90 days at one establishment.

For these purposes, redundancy has a wider meaning than many employers expect. It includes not only traditional redundancy situations, but also:

Business reorganisations resulting in dismissals

● Workplace restructures

● Dismissal and re-engagement ("fire and rehire")

● Some contractual changes implemented through dismissal

The rules apply throughout England, Wales and Scotland, with similar provisions operating in Northern Ireland.

Who must be consulted?

Employers must consult the representatives of all affected employees, not simply those selected for redundancy.

Depending on the workplace, consultation will usually take place with:

● A recognised trade union

● Existing elected employee representatives

● Representatives elected specifically for the consultation

If representatives are not already in place, employers may need to organise elections before consultation can begin.

What information must employers provide?

Employers must provide representatives with sufficient information to allow meaningful consultation.

This generally includes:

● The reasons for the proposed redundancies

● The number and types of employees affected

● Selection criteria

● The proposed timetable

● The redundancy process

● Any enhanced redundancy payments

● Information about agency workers

Providing clear information at an early stage helps ensure consultation is genuine rather than a procedural exercise.

How long must consultation last?

Consultation must begin in good time and no later than:

30 days before the first dismissal where 20–99 redundancies are proposed.

45 days before the first dismissal where 100 or more redundancies are proposed.

The purpose of consultation is to seek agreement where possible by considering ways to:

● Avoid redundancies

● Reduce the number of dismissals

● Minimise the impact on affected employees

Although employers are not required to reach agreement, they must consult with an open mind.

Notification to the Government

‍In addition to consulting employee representatives, employers must notify the Secretary of State before collective redundancies take effect.

Failure to do so is a criminal offence and may result in financial penalties.

What happens If an employer gets It wrong?

Failure to comply with collective consultation obligations can be extremely expensive.

Employment Tribunals can award affected employees a Protective Award of up to 180 days' gross pay per employee where consultation duties have been breached.

For larger redundancy exercises, liability can quickly reach hundreds of thousands, or even millions of pounds.

Upcoming changes

The Employment Rights Act 2025 introduces further reforms to collective redundancy consultation, including a new organisation-wide threshold alongside the existing establishment-based rules.

These changes are expected to increase the number of situations where collective consultation is required.

Industrial Action

What Is Industrial Action?

Industrial action is any organised action taken by employees to place pressure on an employer during a workplace dispute.

The most common forms include:

● Strikes

● Overtime bans

● Work-to-rule

● Go-slows

● Call-out bans

Most forms of industrial action involve employees breaching their contracts of employment.

When Is industrial action lawful?

Trade unions are generally protected from legal claims only if they comply with strict statutory requirements.

This includes:

● Holding a lawful ballot

● Achieving the required level of support

● Providing the employer with the required notices

● Ensuring the dispute relates to a lawful trade dispute

Failure to comply with these requirements can expose a union to legal action, including injunctions preventing industrial action from taking place.

Balloting Requirements

Before calling industrial action, a trade union must:

● Conduct a lawful ballot

● Achieve at least 50% turnout

● Secure majority support

● Notify members and employers of the result

● Provide the employer with advance notice of the proposed action

‍The Employment Rights Act 2025 simplified some ballot paper requirements from February 2026.

Employee rights during industrial action

Employees taking protected industrial action benefit from increased legal protection.

Since February 2026:

● Dismissal because an employee participated in protected industrial action will generally be automatically unfair.

● Additional protection against detrimental treatment is expected from October 2026.

These protections generally apply only where the industrial action has been lawfully organised.

Can employers withhold pay?

Usually, yes.

Because industrial action often involves a breach of contract, employers may:

● Withhold pay for periods spent on strike.

● Refuse partial performance during work-to-rule or similar action.

● Decline to pay employees who refuse to carry out their contractual duties in full.

Employers should nevertheless obtain legal advice before making deductions, particularly where industrial action is disputed.

Can Employers Stop Industrial Action?

Where industrial action is unlawful, employers may apply to the High Court for an injunction preventing the action from proceeding.

The court cannot force employees to return to work, but it can prevent unlawful industrial action from taking place.

Picketing

Peaceful picketing remains lawful where it is carried out in connection with a lawful trade dispute and complies with statutory requirements.

The Employment Rights Act 2025 removed several additional supervisory requirements that previously applied to picketing.

Practical Guidance for Employees

If you are affected by collective redundancies or industrial action:

● Engage with employee representatives throughout any consultation.

● Ask questions if you do not understand the proposals.

● Keep copies of consultation documents and correspondence.

● Seek advice promptly if you believe consultation has not been carried out properly.

● Before participating in industrial action, ensure it has been lawfully authorised by your trade union.

Practical Guidance for Employers

Collective consultation and industrial action require careful planning.

Employers should:

● Identify early whether collective consultation obligations are triggered.

● Begin consultation as soon as proposals are sufficiently developed.

● Keep detailed records of meetings and consultation.

● Ensure managers understand the legal requirements.

● Obtain specialist advice before implementing large-scale redundancies or responding to industrial action.

The cost of procedural mistakes can be significant, particularly following the increase in Protective Awards under the Employment Rights Act 2025.

Frequently Asked Questions

When does collective consultation apply?

Usually where an employer proposes to dismiss 20 or more employees within 90 days at one establishment.

Does consultation mean the employer needs agreement?

No. Employers must consult genuinely and with a view to reaching agreement, but they are not required to obtain employee representatives' consent.

What is a Protective Award?

A tribunal award of up to 180 days' gross pay per affected employee where collective consultation obligations have been breached.

Can I be dismissed for going on strike?

Employees taking protected industrial action now benefit from significantly stronger protection against dismissal. However, the protection depends on the industrial action being lawfully organised.

Can my employer refuse to pay me while I am on strike?

Generally yes. Employers are usually entitled to withhold pay for periods during which employees withdraw their labour or refuse to perform their contractual duties.

This guide provides general information only and is not legal advice. Anyone considering a specific contract claim or counterclaim, whether an employer or an employee, should contact us here contact@gec-law.co.uk for legal advice.

Fill the employer form
Contact us
Fill the employee form