Labour Relations Act, 1995 (Act No. 66 of 1995)NoticesBargaining Council for the Furniture Manufacturing IndustryKwaZulu NatalExtension to Non-Parties of the Main Collective AgreementPart 128. Termination of Contract of Employment |
| (1) | When an employer contemplated dismissing one or more employees for reasons based on operational requirements, due regard shall be given to the provisions of Sections 189 and/or 189A of the Act. |
| (2) | Notice shall be given by the employer or an employee to terminate a contract of employment as set out below: Provided that this shall not affect the right of an employer or employee to terminate a contract of employment without notice for any cause recognised by law as sufficient. |
| (a) | Notice to be given of not less than: |
| (i) | one week if the employer has been employed for six months or less; |
| (ii) | two weeks if the employee has been employed for more than six months, but not more than one year; |
| (iii) | four weeks if the employee has been employed for one year or more. |
| (b) | In the event that an employee having been dismissed based on operational requirements (i.e. retrenched), the following terms shall apply: |
| (i) | employees so affected shall receive first preference, should the positions that they previously occupied with the same employer, be available within a period of six months following the date of their dismissal. |
| (ii) | upon re-employment as contemplated under sub-clause (b)(i) above, such employees shall not be paid less than the weekly rate of pay applicable as at the date of dismissal. |
| (c) | Employees being dismissed as provided for in terms of sub-clause (1) above, shall be paid a retrenchment allowance: |
| (i) | equal to one weeks' normal wages for every completed year of service; |
| (ii) | In recognition of long service the following is payable in addition to the above |
| - | 10 to twenty years service - one additional weeks normal wages |
| - | Twenty years service and more - two additional weeks normal wages |
| (d) | Despite the provisions of sub-clause (a), (i), (ii) or (iii) above, in the event that a more favourable notice period is granted by the employer, the more beneficiary notice period shall apply. |
| (e) | An employer or employee may terminate the contract of employment without notice by: |
| (i) | paying the employee; or |
| (ii) | paying or forfeiting to the employer in lieu of notice, an amount not less than the wages the employee would have received in terms of sub-clause (a), (i), (ii), and (iii) above; |
| (iii) | for such longer period as agreed upon by the employer and employee. |
| (f) | Notice in terms of this Clause, shall not run concurrently with or shall not be given during— |
| (i) | The holiday period referred to under Clause 13 and |
| (ii) | any period of illness not exceeding two weeks in any one year. |