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Dismissal - operational requirements

Two important issues are raised his week by Ivan Israelstam - first that employers should not use retrenchment as an excuse to deal with their failure to manage employee performance, and when conducting restructuring and retrenchment exercises, there are clear steps to be followed to consult with employees - these include consultation, information sharing, and consideration of alternatives. For details on the requirements - see Labour Relations Act sections 189 and 189A, and the Code of Good Practice on Operational Requirements Dismissals.

When employers are faced with financial challenges, and contemplate retrenching employees, it is critical for the employer to first consult on alternatives to avoid retrenchment. Ivan Israelstam explains what is required, and how employers should consider alternatives. If the employee makes proposals, which the employer does not accept, it is necessary that the employer provides a response on why the alternative proposed is not a viable option.    

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