The UK government has launched a consultation seeking views on a new organisation-wide threshold for triggering collective redundancy obligations. The Employment Rights Act 2025 (the ERA) is set to introduce significant reforms across UK employment law, and this consultation addresses a key aspect of strengthening collective redundancy protections for employees.

What is being proposed?

Currently, collective redundancy obligations – which include consultation with affected employees’ representatives and notification to the Secretary of State – are triggered when an employer proposes to dismiss 20 or more employees at a single establishment within a 90-day period. However, according to the government, this framework has allowed some employers to undertake large-scale redundancies across an organisation without triggering consultation and notification requirements.

The ERA will amend the current framework by introducing an additional organisation-wide threshold. This means that consultation and notification will be required when a specified minimum number of employees or more are proposed to be made redundant across an entire organisation, regardless of how those redundancies are distributed among individual establishments.

The consultation specifically seeks views on the following.

• Methods for setting the threshold – four methods are being considered: (1) a single fixed number; (2) a percentage of the total workforce; (3) tiered fixed numbers based on employer size; and...

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