Question
BestNurseryLtdisacompanyprovidingdaycaretochildrenagedtwoyears to five years of age. The company has been experiencing financial difficulties due to several of their clients moving to a newly opened day
BestNurseryLtdisacompanyprovidingdaycaretochildrenagedtwoyears to five years of age. The company has been experiencing financial difficulties due to several of their clients moving to a newly opened day care centre in the same area. The managing director, Anna, has decided Best Nursery Ltd will need to make cutbacks in several areas of expenditure, including staff, if the business is to survive. Anna held a staff meeting where she announced that the company would need to make several cost cutting changes over the coming months due to the decrease in clients and consequential loss of profits. The first such change would be the 'unfortunate and unavoidable' redundancy of several employees. At the meeting, Anna informed the attendees that redundancies would be announced within the next week once she had a chance to consider all her options. The next week, Anna decided to make Keith, one of the three client experience managers, redundant. This decision was made after consultation with the company accountants. Keith was the most senior member of staff in terms of age and service; being 52 years of age and having been with the company for 15 years. Anna was reluctant to make Keith redundant as he had an impeccable record within the company. Nonetheless, she felt that she had to put the needs of the company first as Keith is 'getting on in years' and his removal would save the company $40,000 a year. A formal letter of redundancy was sent to Keith, the day after this decision was taken. Advise Anna of the following :-
a. whether she followed a proper selection procedure when making Keith redundant and the potential consequences of failure to do so.
b. Whether Keith has a claim for discrimination.
use the ilac method and provide relevant cases.
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