Labour Law Section 189

1 2 who must you consult with.

Labour law section 189. Ivan israelstam the labour relations act lra allows employers to dismiss employees for reasons of operational requirements retrenchment. In accordance with section 189 3 of the labour relations act your employer xxx pty ltd hereinafter referred to as the company issues you with this notice and thus invites you to consult with it regarding a proposal dealing with the potential operational restructure of the size and form of its workforce. However the lra s provisions make the implementation of retrenchment especially large scale retrenchments extremely difficult.

Retrenchment is a specific legal process governed by sections 189 and 189a of the labour relations act. Section 189 1 of the lra provides that before retrenching employers must consult any person whom the employer is required to consult in terms of the collective agreement. Throughout this specific section the act obliges the employer to consult both the affected employee s and or union on the.

Section 189 of the labour relations act hereinafter called the act relates to the dismissal of employees based on operational reasons and prescribes a very clear procedure to be followed in the event of such retrenchments. Section 189a applies to employers with more than 50 employees and imposes onerous conditions. The section 189 retrenchment process in terms of the labour relations act section 189 of the labour relations act lra permits employers to dismiss employees for operational requirements.

These are defined as requirements based on economic technological structural or similar needs of the employer. The labour relations act requires that consultation must take place when the employer contemplates retrenchment. Section 189 of the lra lays d.

Looking at the questions that are asked by employers and employees regarding retrenchments there clearly seems to be a lack of understanding of the rights of employees in terms of section 189 189 a of the labour relations act as well as the basic conditions of employment act.