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- Employers must have a real economic or business reason for retrenching employees1. Some reasons for retrenchment include1:
- A downturn in the economy
- A drop in demand for a business’s products or services
- New technology which replaces workers at less cost
Learn more:✕This summary was generated using AI based on multiple online sources. To view the original source information, use the "Learn more" links.This simply means that the employer must have a real economic or business reason for retrenching employees, such as:
- a downturn in the economy
- a drop in demand for a business’s products or services
www.golegal.co.za/retrenchment-procedure-rights/It is necessary to look at each of these reasons more closely.
- Typically, economic reasons given regarding the need for retrenchment include the ability to make money or to retain sufficient funds to continue operations. ...
www.labourlawadvice.co.za/articles/what-is-a-fair-r… - People also ask
WEBSep 13, 2019 · All reasons for retrenchment can be attributed to one or more of the following: Structural; Economical; and/or Technological. STRUCTURAL: . As companies evolve, more practical...
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WEBMay 14, 2020 · 1. The retrenchment must be reasonably necessary and likely to prevent business losses; 2. The losses, if already incurred, are …
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WEBDefinition of Retrenchment of employees is terminating an employee due to the surplus of labor or incapacity of employees to match the performance standards of the company.
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