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Dismissals & Retrenchment


One of the most sensitive decisions you will have to make as an employer is dismissing or retrenching your employee/s. While it is important for you to consistently apply fair and objective employment practices throughout your employee’s career, it is when you are considering dismissal or retrenchment that these principles of fairness and objectivity should be best applied.  
Your decision to dismiss an employee should be based on properly documented proof of poor performance, misconduct, or failure on your employee’s part to fulfil his/her duties and responsibilities. Before arriving at this decision, you should conduct a thorough enquiry where your employee is given sufficient opportunity to present his/her case. 
Retrenchment is another decision that needs to be carried out with the utmost sensitivity. If you are faced with excess manpower, refer to the Tripartite Advisory on Managing Excess Manpower and Responsible Retrenchment for alternatives to avoid or minimise the need for retrenchments. 
Where retrenchments are necessary, remember to carry out the exercise responsibly and in consultation with the union (if your company is unionised), or with your affected employees (if your company is not unionised).