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WHAT IS A FAIR REASON TO RETRENCH?

WHAT IS A FAIR REASON TO RETRENCH?

by Ivan Israelstam | Mar 8, 2019 | CCMA, Labour Relations Act, Retrenchments, Unfair Dismissals

The number of retrenchments occurring in South Africa is alarmingly high. The law, therefore, requires that: The employer follows a fair procedure aimed at an attempt to find alternatives to retrenchment. This involves good faith consultations with the employees...
Second Generation Outsourcing: Can You Retrench?

Second Generation Outsourcing: Can You Retrench?

by Ivan Israelstam | Jan 31, 2019 | Labour Law, Labour Law for Employers, Labour Relations Act, Retrenchments

It is contentious as to whether second generation outsourcing falls under section 197 of the Labour Relations Act (LRA), which is the law protecting employees when a business or a part thereof is taken over. In the case of SAA vs Aviation Union of SA obo Barnes, the...
Ulterior Motives For Retrenchments Not On

Ulterior Motives For Retrenchments Not On

by Ivan Israelstam | Oct 23, 2018 | Employees, Labour Law, Labour Law for Employers, Retrenchments

While all retrenchments are painful and often devastating for employees, it is normal for employers to retrench employees after serious losses have been incurred as the employer can no longer afford to pay their salaries. It can also happen that those executives...
Beware Of Using Retrenchments For Clean Outs

Beware Of Using Retrenchments For Clean Outs

by Ivan Israelstam | Aug 30, 2018 | Labour Law, Labour Law for Employers, Labour Relations Act, Retrenchments

The CCMA and Labour Court are wise to employers who misuse retrenchments in order to get rid of employees who they do not want. Due to this and the dire consequences of such misuse, employers should consider the retrenchment route only when there is a genuine...

Retrenchment And The Duty To Consult

by Ivan Israelstam | Jul 18, 2018 | Employees, Labour Law for Employers, Labour Relations Act, Retrenchments

Africa Business Radio Podcast When an employer contemplates retrenching employees it is required by the Labour Relations Act (LRA) to first consult about this prospect before making any decision to retrench. Where the relevant employees belong to a trade union the...

THERE ARE ALTERNATIVES TO RETRENCHMENT

by Ivan Israelstam | May 7, 2017 | CCMA, Labour Law for Employers, Retrenchments, Unfair Dismissals

The current international and South African climate is causing a large number of companies to experience severe financial difficulties. Customer orders are waning, budgets are being cut, profits are dwindling, cash flows are tightening and it is becoming increasingly...
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Ivan Israelstam, Author of 3 Labour Law Books, People Dynamics Columnist & CEO of Labour Law.

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