The business has a written retrenchment policy

What does this mean?

  • The business needs to have a clearly written retrenchment policy which describes the process that will be followed in case of retrenchment, including how employees will be informed, who will be selected first and how they will be remunerated.
  • Employees need to be made aware of the policy as part of their induction.

What do I do?

The business’ retrenchment policy needs to be in line with the Labour Relations Act.