The social plan as an opportunity

Admittedly, the keyword "social plan" doesn't exactly make people happy. It's one of those terms that you'd rather not use at all. The topic causes uncertainty, mostly due to confusion about the exact content or compensation payments. And who likes to deal with a worst-case scenario? Companies are well advised not to leave anything to chance here and to deal with it proactively and without time pressure, and not just as a sign of a good separation culture!

Due to legal requirements, any company with 250 or more employees may be forced to negotiate a social plan. However, even smaller companies can hardly avoid offering such a plan in the event of job cuts. Every company should therefore be prepared and have a valid social plan. As a matter of course as binding, written employment conditions exist.

Companies often shy away from the supposedly high costs of a redundancy plan. But a redundancy plan doesn't have to be expensive! It all depends on how you define the benefits. When designing a company social plan, the environment must be taken into account and creative leeway examined. A social plan that is tailored to the company and sensibly designed offers the greatest added value for all parties involved. Experience has shown that companies achieve good results when they are free from the pressure of deadlines and demands. We therefore advise companies to think about a redundancy plan when they don't actually need one.

Would you like to find out more about the social plan?

You will receive further exciting input in our expert talk with Brigitte Kraus.

This might also interest you:

• What needs to be considered during social plan negotiations?
• No fear of employee representation
• Outplacement as added value for employers
• Why do we find separation so difficult?

We are happy to support you in developing your social plan!