TERMINATION OF EMPLOYMENT

• Termination for executive staff contractual and no involved procedure
• Termination of workman staff of two types: Dismissal due disciplinary reasons or Retrenchment of individual or group of workmen
• Termination of workman staff invariably leads to litigation
• Dismissal due to disciplinary reasons involves detailed disciplinary proceedings
• Workman dismissed due to disciplinary proceedings not entitled to severance or other pay
• Disciplinary proceedings subject to court review and dismissal order can be set aside
• Penalty for wrongful dismissal for workman - reinstatement plus full back wages
• Retrenchment of workmen needs government approval and notice period
• Retrenchment approval rarely granted
• Industrial unrest and/or delaying of proceedings by unions inevitable