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Labour Guidelines

RETRENCHMENT <50 EMPLOYEES

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RETRENCHMENT <50 EMPLOYEES

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Contents

1. MEANING OF RETRENCHMENT
2. WHEN CAN EMPLOYEES BE RETRENCHED
3. THE DUTY TO CONSULT
3.1 Who to consult with
3.2 What to consult about
3.3 Disclosure of information
3.4 What does “consult” mean
4. SELECTION CRITERIA
5. AVOIDING/MINIMISING RETRENCHMENT
6. TIMING OF RETRENCHMENT
7. MITIGATING THE ADVERSE EFFECTS OF RETRENCHMENT
8. SEVERANCE PAY
8.1 The amount
8.2 Where there is no obligation to pay

Downloadable Forms Click here to access these documents in the Forms section

Code of Good Practice.Dismissal (Schedule 8 2025 09 update)
Form 4.1 Retrenchment checklist
Form 4.2 Invitation to consult
Form 4.3 Letter to employees
Form 4.3 Retrenchment Agreement
Form 4.4 Final decision confirmation
Form 4.5 Final consultation (individual employee)
Form 4.6 Notice of termination
Form 4.7 Reference letter

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