Retrenchment case study

In retrenchment, the last come workman is retrenched first. Re-employment of retrenched workmen also takes place in some cases but it is not necessary that all retrenched workers should be re-employed (Section 25H). Closure means the permanent closing down of a place of employment. A closure is not a weapon in the hands of the employer.

Retrenchment raises a number of other issues besides cost savings. Retrenchment in reality is hitting all levels of employees. This study investigated the effect of retrenchment on the productivity and morale of workers a case study of Zenith Bank Plc. The study used survey research design was used in carrying out this research work.

So, retrenchment means termination of a worker's services for any reason whatsoever, other than those specified in Section 2 (oo). The Bombay High Court, in State Bank of India v. Sundaramony held that wherein the court held that an analysis of the definition reveals four essential ingredients, namely

Retrenchment Case: Validity of the retrenchment challenged under Chapter 5B of the ID Act. As on 28th April, 2004, 85 regular workmen were employed in the factory. 48 of them were retrenched basis LIFO on 29th April, 2004.