Failure for consider redeployment upon redundancy can have costly impacts

The latest article by Truman Hoyle Lawyers suggest that not offering a recently made redundant employee a new position within the company could lead to costs for the company. The article claims:

"In a recent decision of Fair Work Australia, a long serving employee has been awarded $25,000 in compensation for his unfair dismissal from dealership giant A P Eagers.

The employee was on an annual a package of around $100,000 and a decision was made to restructure the business which resulted in his position no longer being available. However, a new position was created which had an annual salary of $55,000."

According to Fair Work Australia the company should have offered a new position to the employee and it was wrong of the company to assume the employee would reject the offer. Do you think this was a fair judgment?

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