Redundancy in Ireland and fair selection

A redundancy announcement may be presented as a straightforward business decision. For an employee, the central questions are whether a genuine redundancy exists and whether the employer has selected them fairly.

What constitutes a genuine redundancy

Section 7(2) of the Redundancy Payments Act 1967, as amended, identifies redundancy situations arising for reasons unrelated to the employee concerned. These include business closure, reduced requirements for particular work and reorganising the business with fewer employees.

Section 7(2)(c) expressly recognises that work may be redistributed among remaining employees. Continuing duties do not automatically disprove redundancy. Conversely, advertising a substantially similar replacement role may warrant scrutiny of the employer’s explanation.

Fair selection and meaningful consultation

Under section 6(4)(c) of the Unfair Dismissals Act 1977, as amended, redundancy can justify dismissal. Where the Act applies, section 6(6) generally places the burden of establishing the justification on the employer.

Section 6(3) specifically addresses unfair selection where comparable employees are retained, including unjustified departures from agreed redundancy procedures or established custom and practice. Selection criteria should be applied fairly and consistently.

Section 6(7) permits consideration of the reasonableness of the employer’s conduct. Meaningful engagement about the business rationale, selection criteria and realistic alternatives can be important. An opportunity to question scoring or identify suitable vacancies may materially affect the assessment of fairness. The particular circumstances of the business remain relevant.

Payments and WRC claims

Statutory redundancy pay generally requires 104 weeks’ continuous service and satisfaction of the applicable social insurance conditions. An unfair dismissal claim ordinarily requires one year’s continuous service, subject to statutory exceptions. Payment of redundancy alone does not establish that a dismissal was fair.

Under section 8(2) of the 1977 Act, an unfair dismissal complaint generally must reach the Workplace Relations Commission within six months of dismissal. An extension up to 12 months requires reasonable cause. Internal appeals or negotiations should not be assumed to suspend the deadline.

Section 7 provides for reinstatement, re-engagement or compensation, assessed under the applicable statutory rules. Employees should retain the redundancy correspondence, selection records, relevant vacancy advertisements and evidence of efforts to obtain alternative employment.

Advice and consultations

If you have an issue concerning redundancy, selection or a proposed settlement, please contact me to arrange a consultation.

David Danagher BL
David.danagher@lawlibrary.ie
+353 83 396 2899

Instructions in contentious employment matters are accepted through a solicitor. General information on Irish law as at 16 October 2026.