The well-known Redundancy Proceedings File (ERE), is the proceeding where the suspension or extinction of the labour relationships between a Company and its employees, protecting the employees rights, is requested to the Labour Authority.

Companies and employees are authorized to apply for the Redundancy Proceedings File through their legal representatives when the mandatory requirements are met, avoiding a bigger damage with this procedure. However, it can only be applied in the circumstances established by Law, like:

1.- Collective redundancies or the suspension of the labour relationship due to economic, technical, organization or production causes.

2.- Suspension or extinction of the labour relationships due to force majeure.

3.- Extinction of the labour relationships due to the extinction of the legal personality.

The Redundancy Proceedings File should be accompanied by a report explaining in which circumstance it is based, economic documents of the company, and in the case of companies with more than 50 employees, with a feasibility study.

If the measure affects less than 200 workers, the Labour Authority could be the one of the province where the company is placed. If the measure affects more than 200 workers or workers coming from different centres in more than one province, the Ministry of Labour or Social Affairs could be in charge of it.

If the Redundancy Proceedings File is applied due to force majeure, it is enough to inform the worker’s legal representatives and to wait for the decision of the Labour Authority. Any other case begins with a consultancy period and the negotiation between the company and the employees. If any agreement is reached, the Labour Authority decides if the redundancy proceeding is accepted or not.

In our Firm, you will find professionals that will give legal advice either to the company or to the employees in order to develope and solve the Redundancy Proceedings File in the most advantageus way for your own interest.