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Case Studies
A plc consultancy organisation - UK wide
The Situation
A new 'Centre' within the plc was established by bringing together the 'best'
consultants from around the company. Without any consultation, an unrealistic
income target was set by managers for the new 'Centre'. Within three months managers
decided that progress towards the target was too slow, and decided to make two
consultants redundant. The approach to redundancy broke most of the required
procedures, the process was seen to be unfair, and the two consultants decided
to take legal action. OrganisationHealth was instructed to review the procedures
and the cases for redundancy and to advise on an appropriate course of action
by the plc.
The Action
OrganisationHealth advised the plc to enter into Compromise Agreements with the
two consultants on the basis that there was a case to answer and that lawyers
would take the cases to Tribunal. In addition, it was advised that the processes
adopted in cases where the company wished to change the contractual arrangements
of employees should be revised, with a view to ensuring that all consultants
remained committed to the organisation even through there may be economic challenges
to be confronted.
The Outcome
There was a reduction in the anger towards the organisation by those consultants
remaining in the company and the development of a culture within the 'Centre'
which recognised the contribution that the 'best' consultants were making to
the company. A Tribunal was avoided together with adverse media publicity, but
the redundant consultants continue to believe they were badly treated.