Retrenchment checklist

If you are considering retrenchment this is a useful guideline to follow


Item Yes/no – Reasons
Consultation Consultation is required before the decision to dismiss. Did the employer consult?
Whom did the employer consult with?
Persons prescribed by a collective agreement
Workplace forum
A registered union
Employees likely to be affected
Did the parties consult on measures to avoid/minimise dismissals? Specify the measures considered and whether they can be implemented or not
short time
moratorium on new appointments
early retirement
voluntary retrenchment
no overtime
temporary lay-off
Disclosure of information Has the employer disclosed the following:
Reasons for the proposed dismissal Reasons
Reasons for rejecting measures to avoid dismissals Reasons
The number of employees likely to be affected and their job categories
Proposed selection criteria Criteria
Proposed timing of the dismissals Timing
Proposed severance pay Proposal
Proposed assistance to affected employees Proposal
Representations Has the employer allowed an opportunity for representations by the other party?
Formulate the representations
Has the employer considered the representations?
Has the employer furnished reasons if he disagrees with the representations?
Decision to dismiss Have all possible measures to avoid dismissal been considered?
Is dismissal the only sanction?
If so, when has the decision to dismiss been taken?
Further consultation Are the parties considering the following:
Changing the timing of the dismissals
Selection criteria
Mitigating the effect of the dismissals. Can the employer assist employees to find alternative employment
Will he re-employ retrenched employees
Notice pay
Notice period
Severance pay
Administrative obligations Has the employer complied with the following?
Given written notification of above
Payment of outstanding wages
Payment of notice pay.
Payment of leave pay
Payment of any other benefits due to employees (pro-rata bonus)
Issuing of UIF card
Issuing of certificate of service

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