Voluntary Retrenchment Agreement Template South Africa

Voluntary cuts are an alternative to forced reductions. Voluntary dismissal means that a staff member voluntarily accepts or withdraws and therefore waives any rights that he/she must refer to an external forum at the end of his or her benefits. The employer, on the other hand, offers the worker additional payments or benefits, which is legally due to the worker. one. Yes, budget cuts are not the fault of layoffs. It is not the employee`s fault that the company can no longer afford the employee`s salary and the agreed notice periods as such must be respected. The employer may ask the worker not to return to the workplace, but then the employer must pay the notice. If there is no agreement on the selection criteria, the criteria must be fair and objective. The principle lifo (last in first out) is often used, but is not the only consideration. Staff with key qualifications can be maintained and a poor current account balance can be taken into account. However, in Hodges/Urban Task Force Investments CC e.a.

(JR840/12) [2013] ZALCHB 295 (November 7, 2013), the Labour Tribunal found that a worker could not waive his fair dismissal rights in exchange for payments against the worker. For this reason, a voluntary savings contract is valid and enforceable only if a „sweetener“ is paid or granted to the worker in the form of an amount or benefit, in addition to the one to which he is entitled. Workers who may be affected by the reduction or their work forum, registered union or elected representatives, or anyone elected under a collective agreement. Q. We have secured a „voluntary reduction agreement“ for those of us who would prefer to use the proposed austerity package if we sign such a letter. I would like to know if it is still possible to get unemployment if we sign. What is considered a fair trial for discounts? We employ more than 50 people and plan to lay off at least 10 people because of the company`s requirements. The consultation should take place as soon as the employer considers a reduction. Consultations are to take place – Jan du Toit is available to help employers make cuts, investigations and questions from the CCMA. His email address is looking at the questions posed by employers and workers regarding the reductions, it seems that there is a misunderstanding of workers` rights with respect to section 189 / 189 (a) of the Labour Relations Act as well as the basic conditions of the Employment Law.