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RETRENCHMENT:
THE INDUSTRIAL COURT
OF TRINIDAD AND
TOBAGO STANDARDS
CHANGING JOB
CHANGING PERKS OUTSOURCING
DESCRIPTION
DEFINITION OF REDUNDANCY
s 5(2) An employee who is dismissed shall be taken to be
dismissed by reason of redundancy if the dismissal is wholly or
mainly attributable to-
(a) the fact that his employer has ceased or intends to cease to-
(i) to carry on the business for the purposes of which the employee
was employed by him; or
(ii) to carry on that business in the place where the employee was so
employed
(b) the fact that the requirements of that business
(i) for employees to carry out work of a particular kind; or
(ii) For employees to carry out work of a particular kind in the place
where he was so employed
has ceased or diminished or are expected to cease or diminish
DEFINITION OF REDUNDANCY
Note Antigua & Barbuda
'Redundancy' means a situation in which, by virtue of
a lack of customers' orders,
retrenchment,
the installation of labour-saving machinery,
an employer's going out of business,
a force majeure, or
any other reason,
tasks which a person was last employed to perform, no longer
exist.'
- s. C3 Antigua Labour Code 1975
DEFINITION OF REDUNDANCY
Trinidad & Tobago
o Retrenchment and Severance Benefits Act 1985
s.2
Redundancy means the existence of surplus labour in an
undertaking for whatever cause
-
DEFINITION OF REDUNDANCY
Trinidad & Tobago
Commercial Finance Co Ltd (in liquidation) v Ramsinh-
Mahabir (1994) 45 WIR 447 (PC) retrenchment means
termination for the reason of redundancy, and redundancy means the
existence of surplus labour in an undertaking for whatever cause. It does not
apply to the termination of employment simply because the business has
ceased to exist. Retrenchment contemplates that the business will continue in
existence but that there are too many workers for the purposes of the business
so that some have to be made redundant. Moreover, termination of a workers
employment has to be at the initiative of the employer.Termination by
operation of law, following a compulsory winding up, is not a termination
at the initiative of the employer. (452)
DEFINITION OF REDUNDANCY
All writers agree that the concept of excess or surplus labour
is the most difficult in the statutory definition.
The fact that the
1. requirements of that business
2. for employees
3. to carry out work of a particular kind
4. have ceased or diminished
In this case, had there been consultation with the selected workers,
they would have had the opportunity to make proper representation
as to why they should not be selected for retrenchment by providing
information and documentary evidence, on the skills and training
acquired at TTUC, Fertrin and Arcadian.