Recently, Business Chamber Queensland published a timely article by Chloe Boike, Junior Workplace Relations Consultant, looking at redundancy through the lens of small business. It’s a topic that sits right at the intersection of people, money and legal risk — and one where misunderstandings can quickly become costly.

What counts as a genuine redundancy?
The article explains that a redundancy is generally considered genuine when the role itself is no longer required, not just the person in it. This might be due to restructuring, a downturn, automation, or business closure.

Crucially, employers must also:

• Consult with the affected employee where required, and
• Properly consider redeployment options within the business or an associated entity

If the work still exists and is simply being reassigned or renamed, you may be stepping into unfair dismissal territory rather than redundancy.

Small business doesn’t mean no rules
One common misconception highlighted in the article is that being a small business means fewer obligations. While businesses with fewer than 15 employees are generally not required to pay redundancy pay, they must still:

• Provide correct notice (or payment in lieu)
• Ensure the redundancy is genuine
• Comply with any applicable modern awards or enterprise agreements

Awards can introduce additional requirements around consultation, notice and even redundancy payments — and they apply to most employees, including those in small businesses.

Why process and paperwork matter
The article also stresses the importance of meaningful consultation, clear communication and correct final documentation. Even a lawful redundancy can become a dispute if it’s rushed, poorly documented or handled without care.

Handled well, redundancy can be a difficult but fair transition. Handled poorly, it can linger long after the role is gone.

To find out more, we encourage members to read the full article from Business Chamber Queensland.