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Exploring alternatives to making people redundant.

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In a recent report, the Chartered Institute of Personnel and Development (CIPD) calculated the true average cost of making an employee redundant as £16,375. According to local solicitor Alexandra Dean of Gepp & Sons in Chelmsford, "The CIPD says that this is what it costs a firm before it can achieve a single penny's-worth of savings through the redundancy. Their conclusion is that redundancy always should be a last resort, because it often makes economic sense to keep staff on the pay roll and plan for recovery." Alexandra Dean accepts, however, that circumstances differ from business to business, and in tough times there may often appear to be no realistic alternative to redundancy. "But there is a lot of truth in what the CIPD has to say, and it's often worth exploring alternatives like part-time working and extending holidays," Alexandra Dean says. "In many cases, options like these can actually be very attractive to the employee, enabling them to have more of a life outside work while still with the security of a regular wage. "Practically, they immediately reduce operating costs for the employer, without the need to make large redundancy payments, as well as reducing future recruitment and training expenses." Alexandra Dean is very happy to help businesses that need to make cost-savings and identify the most effective and least damaging route. "Call us on 01245 228141 and talk to one of our employment experts to help find the solution that's best for you," Alexandra Dean continues. "The more businesses can cost-effectively keep people in work, the less impact we will see of recession on our local economy." - ends - Notes to Editors: • For additional information or comment please contact: Alexandra Dean of Gepp & Sons