Dismissal Based on Operational Requirements in the Workplace

Section 189 of the South African Labour Relations Act provides for procedures to be followed by an employer when contemplating to dismiss one or more employees for reasons based on operational requirements. The employer does not only have to follow the procedures set out in section 189 to render dismissals for operational reasons fair, but there must also be a valid reason to dismiss. The courts are always reluctant to second-guess the employer's decision to retrench provided that the decision is made in good faith.