How Employee Consultation can be a waste of time!
There I said it! Now, I know I have said before not to consult to tick a box and I still believe there is so much to be gained by consulting with staff but I have to say there are times when it’s a waste of time and does nothing more than increase employee anxiety!
When it comes to redundancies there is an obligation under Awards to consult – and this can actually be tough on the employee, particularly when it is due to the unavoidable need to reduce costs rather than restructuring for business operational requirements. Although I respect the principle of consultation, at times when an employer has no other option but to make a decision to undertake redundancies I think it is tough!
Employees are left for a period of time in limbo between the advising that the business has made a decision and thinking about a course of action through the consultation phase to until the final decision is made, taking into consideration anything raised by the employee during that time. Redundancies are stressful enough without this and, to be honest, it also seems to have the opposite effect on the employee themselves and colleagues – who actually think it’s been handled poorly – where in fact it’s been handled well and within the parameters of compliance.
Businesses at some point and sometimes have to make tough and unavoidable decisions which means that there really isn’t any point in consulting with staff as the process simply won’t alter the outcome. What is the employee going to do at that point anyway – tell the employer to take a fellow colleague instead? Because that’s probably the only input that they can contribute.
However, of course, our advice is to comply otherwise the penalties and consequences can be high. There is the risk that an employee could make an unfair dismissal claim in the case of a redundancy which is costly in both time and money. There is also the risk that the employer will be found in breach of the Award – an offence with a maximum penalty of $54,000for a corporation or $10,800 for an individual. Then there is the additional cost of defending claims.
So, whilst at times consultation is a waste of time, it is a requirement which can’t be ignored– and at times benefits can definitely come out of it – just not all the time.
HR Business Direction can advise on your consultation requirements and how to get the most out of it. Contact us here.
Relevant blogs: Don’t consult with employees to tick a box
Leisa Messer BBus(HRM); GradDipIR; CAHRI; IRSQ
Managing Director | HR Strategist
leisa.messer@hrbd.com.au
07 3890 2066
www.hrbd.com.au
