Retrenchment policy and procedure pdf merge

To ensure the application of consistent, fair and legal staff redundancy procedures and retrenchment practices and the fair and equal treatment of all employees, taking account of the duty and right of the employer to balance staffing levels, business demands and changing economic, labour and. Retrenchment might be caused by a number of factors. Chase manhattan merger result in 12 000 employees losing their jobs and in. Retrenchment laws do not favour employers skills portal. These are defined as requirements based on economic, technological, structural or similar needs of the employer.

Many units are scrapped as banks combine, either because they no longer fit into the strategic. Retrenchment and restructuring labour and community. Rationalisation to shed surplus employees resulting from buyouts or mergers. A surplus of employees following a merger due to employees from. By end of 2010, a total of 501 employees had been retrenched at eldoret telkom. After having an income protection policy in place for six months, you qualify for the retrenchment benefit, and you wont be covered for any retrenchment process that begins within these six months. The client will implement a procedure which provides individuals with the right to challenge their selection. What you need to know about the law on retrenchment of employees. Pdf rate of retrenchments is directly proportional to unemployment, which. Effects of retrenchment on organizational performance at. The employer must give fair reasons for making the decision to retrench and follow a fair procedure when making such a decision. If you face retrenchment, you need to know what the law expects of your employer to ensure that the process is fair. The retrenchment process affects a variety of stakeholders.

Do you need to report retrenchments to the government. When do we start calculating the 60 day consultation period. Where retrenchment plans are required by law clients should ensure that the retrenchment plan is in line with regulatory requirements. Due to this and because the employer did not follow the proper retrenchment procedure the court. This paper examines the effect of retrenchment on organizational performance based on a study conducted at the telkom kenya, eldoret branch over a 5 year period. This occurs when the right procedure is not followed.