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What Is HR Retrenchment

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Help :  Madhuri


What Is HR Retrenchment

Hello All,

I’m Madhuri. I’m pursuing my MBA final year. I just want to know about HR Retrenchment. I’m totally confused with it due to the bookish knowledge. It would be great if anyone could help me with a proper understanding of HR Retrenchment.

Replies :

  Chandrika

Dear Madhuri,

Technical definition you can have from ID Act. grossly retrenchment means any termination which is not a disciplinary action inflicted on a workmen or VRS or retirement or superannuation or ending of a fixed term contract or termination of service due to continued ill health.

Lay off means failure, refusal or inability of employer due to shortage of raw material, coal, power, breakdown of machinery etc to provide employment. It is of temporary nature.

Termination means Dismissal, Retrenchment or Completion of a contract or Non Renewal of Contract etc. Termination is not always negative. All these activities are termed as termination.

Dear Madhuri,

Technical definition you can have from ID Act. grossly retrenchment means any termination which is not a disciplinary action inflicted on a workmen or VRS or retirement or superannuation or ending of a fixed term contract or termination of service due to continued ill health.

Lay off means failure, refusal or inability of employer due to shortage of raw material, coal, power, breakdown of machinery etc to provide employment. It is of temporary nature.

Termination means Dismissal, Retrenchment or Completion of a contract or Non Renewal of Contract etc. Termination is not always negative. All these activities are termed as termination.

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