Redundancies … Toyota’s Altona North plant in Melbourne’s West. Photo: Penny Stephens
TOYOTA’S method of culling 350 workers has been questioned by a human resources expert, who said it should have been handled more sensitively.
But labour law academics believe the forced redundancies appeared to have been handled within the law, and that unfair dismissal claims being touted by workers at the Altona plant were unlikely to succeed.
Yesterday, Toyota completed the process of dismissing one in 10 of its 3350 employees at its Altona plant. The sackings were announced in January, but workers did not know who was going until Monday.
Toyota increased security at the plant and ferried dismissed workers by minivans to an adjacent reception centre, where they were formally dismissed.
They were also given a folder outlining why they were losing their job.
Many of them said these criteria had little relevance to how they had performed their job.
The national president of the Australian Human Resources Institute, Peter Wilson, said there was never a ”100 per cent successful way” of taking someone’s job away. ”It can get pretty ugly,” he said.
While Toyota had tried to handle some things thoroughly, he said, it had not gone well.
”The cars steering people over to a hall; that is a little bit militaristic. That wasn’t smart,” he said.
He said voluntary redundancies often did not work out well for companies because the best people left, he said, and the least productive who feared they could not find other work stayed.
Toyota’s forced redundancy process had given workers an assessment process that had tried to be more honest than other companies often were, said Mr Wilson, whose organisation represents 18,000 Australian firms. ”A lot of employers don’t go into the reasons.”
An employee can be made redundant if their company has operational reasons that mean their job is no longer required to be performed. Companies must also comply with consultation requirements. Labour law experts said Toyota had adhered to laws on genuine redundancies.
Associate Professor Anthony Forsyth, from Monash University, said some of the criteria outlined by Toyota in employee departure documents were unusual, but others seemed ”pretty legitimate and common”.
However, Toyota’s release of performance scores to fired workers ”might open up the possibility of the employees’ union challenging the terminations under the unfair dismissal laws”. It was likely Toyota could successfully defend those sorts of claims, he said.
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