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Retrenchment

Nicol Myburgh, Head: CRS Technologies HCM Business Unit.

The rules that govern constructive dismissal haven’t undergone any major changes over the past three years, a fact that should give any employee pause before they embark down this difficult road.

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retrenchment
Labour law

As companies increasingly turn to retrenchments in response to pressures on their bottom line, they should beware the unintended but very real consequences that are likely to flow from a reduced staff complement, an expert warns.


Retrenchments in South African law are regulated in terms of section 189 of the Labour Relations Act 66 of 1995 (LRA).

Labour expert, Advocate Tertius Wessels from Strata-g Labour Solutions has warned that more retrenchments are on the table for South Africa’s workforce. This comes amid news that South Africa's unemployment rate increased to 27.6% in the first quarter of 2019.

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