For redundancy selections, which option should be considered according to the LIFO principle?

Retaining long-serving employees aligns with the LIFO (Last In, First Out) principle, which is a method often used to determine which employees may be let go during a redundancy selection process. The LIFO principle suggests that the most recently hired employees should be the first to be dismissed, as they have the least tenure with the organization.

By prioritizing the retention of long-serving employees, a company acknowledges their loyalty, experience, and the investment that has been made in their development over time. This approach can also help maintain organizational knowledge and continuity, as these employees are likely to have a deeper understanding of the company's operations and culture.

In applying the LIFO principle, a company demonstrates a commitment to valuing its long-term employees, which can also have positive effects on morale among remaining staff.