Clarity • Compliance • Confidence
Navigating Retrenchment with Legal Precision
Retrenchment (termination for operational requirements) is lawful only if both procedurally and substantively fair under Section 189 of the Labour Relations Act (LRA). We advise employers on how to implement fair processes and assist employees to enforce their rights.
We Assist With:
- Consultation Notice – Employer issues written notice inviting employees or union to consult.
- Consultation Meetings – Discuss alternatives, selection criteria, severance, and timelines.
- Selection & Notice – Apply fair, objective criteria (e.g., LIFO – last in, first out).
- Notice of Termination – Formal written notice with severance details.
- Dispute Referral (if necessary) – To the CCMA for conciliation and arbitration.

- Preparing Section 189 notices and documentation
- Facilitating consultations with staff or unions
- Drafting severance and settlement agreements
- Representing employers at CCMA and Labour Court
- Incorporating mediation procedures under the High Court’s directive
- Learn About Disciplinary Hearings →

- Understand retrenchment notices and timelines
- Challenge unfair selection criteria
- Negotiate severance packages
- Refer disputes to the CCMA or Labour Court
- Learn About CCMA Representation →


- Failing to Consult Properly – Employers must engage meaningfully with staff or representatives.
- Using Retrenchment to Dismiss Individuals – Disguised retrenchments are automatically unfair.
- Inconsistent Selection Criteria – Lack of objectivity creates bias.
- No Written Notice or Severance Agreement – Breaches Section 189.
- Skipping Mediation – The High Court directive encourages mediation before litigation.
Mandatory Mediation Explained →
- Negotiate fair severance packages
- Avoid CCMA and Labour Court hearings
- Preserve relationships and reputation
- Ensure compliance and closure
- Read About Workplace Mediation →

- Accredited Mediators: Qualified under the Gauteng directive for workplace disputes.
- Balanced Representation: Experience for both employers and employees.
- Comprehensive Support: From consultation to settlement or litigation.
- Proven Results: Track record of fair and efficient retrenchment solutions.
Clarity During Transition
