What Constitutes a Reasonable Redeployment Offer: A Legal Perspective for Employers

When businesses undergo restructuring or downsizing, employers may offer redeployment as an alternative to redundancy. However, it’s critical that the redeployment offer is considered “reasonable” under Australian employment law, ensuring both the employee’s and employer’s interests are protected.

A reasonable redeployment offer is generally defined by the Fair Work Act 2009 as one that aligns with the employee’s skills, experience, and current pay level. To be legally supported, the offer must provide the employee with a role that is comparable to their previous position in terms of responsibilities, location, and remuneration.

Key considerations include:

1. Location: The new role should be reasonably accessible. An offer may be deemed unreasonable if it requires significant relocation or impractical commuting distances without appropriate compensation.

2. Duties and Skills: The new role must align with the employee’s qualifications and experience. An offer requiring significant retraining or a drastic change in responsibilities could be considered unreasonable.

3. Remuneration: The offered role should not involve a significant reduction in pay. Any decrease in salary may make the redeployment offer unsustainable or unfair.

4. Work Conditions: The employee’s work hours and conditions should not vary excessively from their original role, and any changes should be clearly communicated.

Employers must approach redeployment with care, ensuring that offers are tailored to the individual and comply with legal standards. Proper consultation, clear communication, and genuine consideration of the employee’s circumstances are essential in making a legally supported redeployment offer.