What is a transfer of a business, and what are the implications for the new owner of the business? This week Ivan Israelstam uses examples of cases to explain the expensive consequences for a business owner, who does not follow the requirements of the Labour Relations Act.
The sale of a business - or part of a business - may take place when a company is in financial difficulty, and wanting to restructure to avoid going into liquidation. The new owner may want to reduce the staff complement - but the Labour Relations Act makes any retrenchment as a result of a transfer of a going concern an unfair dismissal. Who is responsible - the old or new employer? Ivan Israelstam explains further.
This week Ivan Israelstam explains how the word "unfair" is interpreted in labour law, and why it is so important for employers to understand what is regarded as unfair and what is automatically unfair. This is particularly important for employers to understand in relation to reasons for dismissal.
This week Ivan Israelstam explains why it is important for employers to understand the rights of pregnant women and the responsibilities of the employer. How should the employer deal with maternity leave? There is an entitlement for 4 months maternity leave and employees should not be pressured to take a shorter period of maternity leave.
Employers may be inclined to use retrenchment to solve various types of human resource "problems". For example: to dismiss non-performing employees who have not been performance managed, or to change the employer demographic profile, or to dismiss an employee whom management regard as a "troublemaker". However, the CCMA and Labour Court will closely examine the criteria used to identify potential retrenchees. Retrenching an employee is a very serious step - not to be taken lightly, or without clear labour law advice. Ivan Israelstam explains further.
Human resource practitioners will be aware of the saying that one employs for qualifications and dismisses for behaviour. Individuals who have been model employees may suddenly start behaving in uncharacteristic ways, brought on by personal relationship problems, trauma, or forms of physical or mental illness. No matter how frustrating the behaviour may be for the employer Ivan Israelstam explains why it is critical that employers behave correctly.