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The Pros And Cons Of Redundancy

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Redundancy: This is a legal term that arises where an individual is either dismissed, put on short term or lay – off (Grimes and Horgan, 1988), although this is done because of the legal implications and employers don’t like to be sued by employees for such reasons because of the lump sum accrued to it as damages or penalty. There are identifiable reasons for such act which could be either the employer has intended to cease to carry on business or the reason for employment of the individual no longer exists (fewer persons are required). Nonetheless, the employee (provided he has satisfied the Social Welfare Act of 1952 (as amended) – must be employed by the employer for minimum of 2 years and must be insured under the Social Welfare Act) is able to establish a ground of redundancy, and it behoves the employer to justify the selection of redundancy is genuine and in a fair manner(Faulkner, 2008), if not, the damages paid is a sum payment to the employee, calculated by reference to the length of the employee’s service and normal weekly wages at the date of dismissal as stipulated in the Irish Redundancy Payments …show more content…

The Nigeria Labour Act covers this aspect, the act stipulates that employers inform the employee involved of the reasons for and length of the anticipated redundancy by applying the principle of “last in, first out” (similar to the Irish employment law) in the discharge of the worker subject to factors such as relative merit, including skill, ability and reliability; and endeavours to negotiate redundancy payments to any discharged employees I the best possible manner (Adeshina, Akande and Aiyepola, 2017). However, companies do not subject its employees to redundancy or follow this method rather an outright dismissal or termination is

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