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A less severe form of involuntary termination is often referred to as a layoff (also redundancy or being made redundant in British English). A layoff is usually not strictly related to personal performance but instead due to economic cycles or the company's need to restructure itself, the firm itself going out of business, or a change in the function of the employer (for example, a certain ...
An employer can do this by applying to the Fair Work Commission for a redundancy payment reduction. [29] A layoff is also known as a retrenchment in (South African English). In the UK, permanent termination due to elimination of a position is usually called redundancy. [2]
In a redundancy situation the employer must consult [73] those in the "pool" identified at risk and carry out a fair selection. The consultation must start when the employer decides [ 74 ] or proposes [ 75 ] redundancy - any delay could entitle the employee to compensation for loss of jobseeking time. [ 76 ]
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If the Fair Work Commission determines that a dismissal was unfair, the Commission must decide whether to order reinstatement or compensation. [27] The commission is required to first consider whether reinstatement is appropriate and can only order compensation (capped at 6 months pay) [ 28 ] if it is satisfied that reinstatement is inappropriate.
It deals with rights that most employees can get when they work, including unfair dismissal, reasonable notice before dismissal, time off rights for parenting, redundancy and more. It was amended substantially by the Labour government since 1997, to include the right to request flexible working time. This coincides with the Rights at Work Act 1995.
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In an employment contract, a notice period is a period between the receipt of the letter of dismissal and the end of the last working day. This time period does not have to be given to an employee by their employer before their employment ends. The term also refers to the period between a termination date or resignation date and the last ...