It is generally considered best equal opportunities practice to advertise all vacancies externally as this will ensure that as wide a pool of candidates as possible is reached. This will not always be appropriate however, for example, in a redundancy situation, where an employer is obliged to consider what alternative employment is available within the organisation for employees who are at risk of redundancy.
For further information on redundancy see:
R1 – How to Guide – Redundancy.
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