The number of collective redundancies is on the rise

A significant increase in the number of redundancies is expected in 2024. Such plans have been made by Agora, ING, IKEA, ABB or BNP Paribas Bank Polska, for example. Redundancies are even being carried out by the hitherto fast-growing business services sector.

In 2023, the number of redundancies has increased by 6.7%. In 2024, the situation may look much worse. In the Krakow area only, more than 1,000 people will lose their jobs as part of the already confirmed collective redundancies, which is the number for the whole year 2023.

Collective redundancies represent a difficult situation for employees and employers. A large reduction in the workforce should not only be carried out according to the regulations, but also in an ethical way and in line with the market practices.

Employers will be exposed to lawsuits brought against them by dismissed employees in the event of mistakes in the dismissal procedure or inadequately justified terminations. For dismissed managers with high salaries, damages can run into tens of thousands of zlotys – explains Magdalena Wilkoszewska, Director of the Labour Law Department at TGC Corporate Lawyers, in a comment for My Company Polska portal.

The article is available in Polish only.

Learn more: Webinar: Collective redundancies – how to proceed legally?

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