In Siobhan McDonagh v James P. McCann Ireland Limited, an accountant was awarded more than €25,000 after an Irish employment tribunal heard how she faced an unfair redundancy process. This ruling was notable because it held that a “redundancy situation existed,” underscoring the importance of a fair procedure. While this was an Irish case, redundancy laws apply similarly in the UK.

Read on as we examine the facts of the matter and the tribunal’s judgment. In the context of UK employment law, we then discuss what redundancy is, when it may be unfair, and the steps others can take if they believe their employment rights have been breached.

If you think you’ve been subjected to an unfair redundancy process, contact Redmans Solicitors without delay. Our team of employment experts is here to assist and provide specialist advice. Following a brief consultation, we can answer any questions you may have and discuss your possible next steps.

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The Facts in Siobhan McDonagh v James P. McCann Ireland Limited

Background to the Unfair Redundancy Process

Ms Siobhan McDonagh (“the Complainant”) was an accountant and began working for Kimble Gaming Limited on 2 July 2007. Following a transfer under the Transfer of Undertakings (Protection of Employment) Regulations on 5 April 2023, her employment continued with James P. McCann Ireland Limited (the “Respondent”). At the time of her dismissal, by way of redundancy, she had accrued 17 years’ continuous service.

The Complainant first learned of potential redundancies on 13 January 2025 through a colleague. That same day, the Respondent’s owners approached her and allegedly stated that she was being “let go.” When she asked who else was being made redundant, the owners said that she was the only one.

On 16 January, the Complainant was again informed of her redundancy and told that employees in a company connected to the Respondent were facing redundancy, too. She was also told that her final day of employment was 7 March.

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Later that day, one of the owners queried whether the Complainant had received “the letter.” When she informed him that she hadn’t, he apparently laughed and handed her a copy dated 15 January, justifying redundancy due to a “decline in business.” She then queried whether she would receive any redundancy payment, but was told she would have to “apply to the state” for her statutory entitlement.

Notably, prior to her last day, the Complainant learned that no employee in the Respondent’s associated company was, in fact, being made redundant. This was at odds with what she’d previously been told. Furthermore, one of the owners allegedly stated that she could return to work a few days a week for “cash off the books.”

The Complainant subsequently pursued claims through the Workplace Relations Commission (WRC) and applied for various roles, but was unsuccessful at the time of her WRC hearing.

Unfair Redundancy Process: The WRC’s Judgment

In making its decision, the WRC outlined that there had been a legitimate “redundancy situation.” However, due to the apparent unfair redundancy process, it found the Complainant’s dismissal unfair.

Among other things, the WRC pointed to “the absence of any clear explanation or objective selection process.” What’s more, while the Complainant being the only employee made redundant wouldn’t constitute unfair dismissal on its own, when considered with the above, the WRC stated this gave “rise to concern.”

WRC Adjudication Officer Úna Glazier-Farmer held, “The Respondent has failed to demonstrate that the dismissal was affected in accordance with fair procedures. Accordingly, I find that the Complainant was unfairly dismissed.”

Ms Siobhan McDonagh was consequently awarded €25,177.62, roughly equating to £21,700.

What is Redundancy?

Redundancy is a type of dismissal that occurs when an employee’s services are no longer required. It can arise during a business closure, relocation, or restructuring and requires strict compliance with UK legislation to remain lawful. As seen in the above case, if an employee is made redundant for an unfair reason or following an unfair process, it could constitute an unlawful dismissal and give rise to legal repercussions.

When Can it be Unfair?

A redundancy is considered lawful only if it meets specific criteria:

• First, only individuals legally classified as employees can be made redundant.
• Second, redundancy may only take place if a business has or will be closing, is changing location or has a reduced need for a particular type of role.
• Third, before a decision is made, employers should inform those at risk (in line with fair, legally compliant selection criteria), explain why redundancy is being considered, and outline the process.
• Fourth, employers should outline any consultation plans; this is particularly important if 20 or more employees are facing redundancy, as collective consultations are then mandatory.
• Finally, before making a final decision, employers should listen to what those at risk have to say and consider any alternatives to avoid redundancy.

If an employer makes someone redundant without a legitimate reason or following an unfair redundancy process, it risks legal consequences. Like in Siobhan McDonagh v James P. McCann Ireland Limited, this could include costly tribunal payouts.

Been Unfairly Made Redundant? Here’s What You Can Do

If an employee believes they’ve faced an unfair redundancy process, several options are available to help resolve the issue. Before taking such steps, though, it’s wise to collect any evidence of the process to support one’s case. Among other things, this could include emails, written correspondence, or the contact details of witnesses to the acts complained of.

Once evidence has been gathered, the next step is often to consider internal avenues. Appealing the decision or raising a formal grievance could give the employer an opportunity to review its process and rectify any shortcomings.

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However, if the matter remains unresolved, it may be necessary to consider early conciliation through Acas. This free and independent process is typically required before a claim can proceed, and offers another chance to find an informal solution.

If all else fails, though, the final step is to bring a claim to the employment tribunal. Strict eligibility criteria and time limits must be met to proceed, but if successful, compensation could be awarded.

Faced an Unfair Redundancy Process? Get Help with Redmans

If you want specialist employment advice after being made redundant, contact us now. Redmans Solicitors are employment experts. Following a quick chat, we can assess your case and discuss how you could proceed. We can also determine your eligibility to make a claim and guide those eligible through the legal process.

To get started, simply:

• Phone 020 3397 3603
• Request a callback via our online form