South Africa Law

Get your South African law questions answered by Experts

Ask a Lawyer,
Get an Answer ASAP!

This answer was rated:

We a closing down and have advised the staff accordingly…

Hi, we a closing...

Hi, we a closing down and have advised the staff accordingly that the company will be closing - are you required to pay a "retrenchment" package

Lawyer's Assistant: What state are you in? It matters because laws vary by location.

In South Africa - Gauteng

Lawyer's Assistant: Have you talked to a lawyer yet?

No not really, been given some advise via a labour broker

Lawyer's Assistant: Anything else you want the lawyer to know before I connect you?

Very small business only 4 people involved - what will the fee be for said advise?

Show More
Show Less
Ask Your Own South Africa Law Question
Answered in 10 minutes by:
11/16/2017
CaseLaw
CaseLaw, Attorney
Category: South Africa Law
Satisfied Customers: 1,691
Experience: BCom; LLB; Masters in Law
Verified

Hi there and thank you for your question,

I am a practicing attorney based in South Africa and I will try to assist you with your legal question but please feel free to ask as many follow up questions in order to clarify your initial question. If you have a new question, you must please open a new thread.

Yes, if you are voluntarily closing down the business one of your closing down costs WILL be a retrenchment package for each of the staff members.

The only thing is that normally you would need to give the staff an option of accepting the retrenchment package OR accepting another role in the company, but here it would be a forced retrenchment package.

What can you expect as payment on retrenchment?

1. Severance pay should be at least one week’s remuneration per completed year of service. Remuneration is calculated including basic salary and payments in kind.
2. Outstanding leave must be paid out in full.
3. Notice pay may vary depending on your employment contract.
4. In the absence of a contract, you are entitled to notice pay as follows:

  • If you have been employed for 1-4 weeks: 1 weeks’ notice pay
  • If you have been employed for 4 weeks – 1 year: 2 weeks’ notice pay
  • If you have been employed for more than a year: 4 weeks’ notice pay

Depending on your employment contract, again, you may be entitled to a pro-rata payment of your annual bonus, and the balance of any pension or provident fund benefits.

If my answer hasn't provided you with enough clarity regarding your initial question, please send me a REPLY with follow up questions so that I can continue to assist you in this same thread for as long as you need. Let me know if you need more advice - don't just rate my answer as "bad".

If my are HAPPY with my answer then please click one of the STAR ratings or the SMILEY FACES to rate my answer!

Good luck and best regards,

CaseLaw

Ask Your Own South Africa Law Question
Customer reply replied 6 months ago
Thank you - so if the business is closing due to the fact that it is no longer financial viable to continue as it is running at a lose - retrenchment packages still need to be paid - sorry should have maybe told you that in the beginning.

Yes.

But if the company has NO money, then you might want to liquidate the company through a Court liquidation application. But then the employees walk away with nothing.

CaseLaw
CaseLaw, Attorney
Category: South Africa Law
Satisfied Customers: 1,691
Experience: BCom; LLB; Masters in Law
Verified
CaseLaw and 87 other South Africa Law Specialists are ready to help you
Ask your own question now
Customer reply replied 6 months ago
Thank you no don't want them to get nothing will work out the packages and make a plan - appreciate the advise.
Was this answer helpful?
Ask CaseLaw Your Own Question
CaseLaw
CaseLaw
CaseLaw, Attorney
Category: South Africa Law
Satisfied Customers: 1,691
1,691 Satisfied Customers
Experience: BCom; LLB; Masters in Law

CaseLaw is online now

A new question is answered every 9 seconds

How JustAnswer works:

  • Ask an ExpertExperts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional AnswerVia email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • 100% Satisfaction GuaranteeRate the answer you receive.

JustAnswer in the News:

Ask-a-doc Web sites: If you've got a quick question, you can try to get an answer from sites that say they have various specialists on hand to give quick answers... Justanswer.com.
JustAnswer.com...has seen a spike since October in legal questions from readers about layoffs, unemployment and severance.
Web sites like justanswer.com/legal
...leave nothing to chance.
Traffic on JustAnswer rose 14 percent...and had nearly 400,000 page views in 30 days...inquiries related to stress, high blood pressure, drinking and heart pain jumped 33 percent.
Tory Johnson, GMA Workplace Contributor, discusses work-from-home jobs, such as JustAnswer in which verified Experts answer people’s questions.
I will tell you that...the things you have to go through to be an Expert are quite rigorous.

What Customers are Saying:

Mr. Kaplun clearly had an exceptional understanding of the issue and was able to explain it concisely. I would recommend JustAnswer to anyone. Great service that lives up to its promises!

Gary B.Edmond, OK

My Expert was fast and seemed to have the answer to my taser question at the tips of her fingers. Communication was excellent. I left feeling confident in her answer.

EricRedwood City, CA

I am very pleased with JustAnswer as a place to go for divorce or criminal law knowledge and insight.

MichaelWichita, KS

PaulMJD helped me with questions I had regarding an urgent legal matter. His answers were excellent.

Three H.Houston, TX

Anne was extremely helpful. Her information put me in the right direction for action that kept me legal, possible saving me a ton of money in the future. Thank you again, Anne!!

ElaineAtlanta, GA

It worked great. I had the facts and I presented them to my ex-landlord and she folded and returned my deposit. The 50 bucks I spent with you solved my problem.

TonyApopka, FL

Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help.

Mary C.Freshfield, Liverpool, UK

< Previous | Next >

Meet the Experts:

PHINEAS MOTAUNG

PHINEAS MOTAUNG

Attorney

113 satisfied customers

BACHELOR OF LAWS

Emil

Emil

Attorney

33 satisfied customers

BCom Law LLB, 3 years post article experience as attorney

LCP

LCP

Attorney

21 satisfied customers

BCom (Stell) LLB LLM

Freddie Lombard

Freddie Lombard

Attorney

2,705 satisfied customers

Practicing attorney and conveyancer with 16 years post article experience.

Shaie Zindel

Shaie Zindel

Attorney

1,248 satisfied customers

All areas of commercial and contract Law - specialist in property advice.

inciteadvisor

inciteadvisor

Commercial Lawyer

814 satisfied customers

B.Com LLB Registered Corporate lawywer

Christiaan K

Christiaan K

169 satisfied customers

Attorney & Director at Lombard Kotze Incorporated

< Previous | Next >

Related South Africa Law Questions
I am trying to find my late fathers id, my mom lost all
Hi I am trying to find my late fathers id, my mom lost all documents. Can you assist with this ? I am trying to apply for an abridged birth certificate for myself. Please advise Lloyd Brown(###) ###-#… read more
Christiaan K
Christiaan K
LLB
169 satisfied customers
I am an admitted Advocate practicing since 2010. I would
I am an admitted Advocate practicing since 2010. I would like qualify as a notary public here in the RSA. Is it possible? … read more
CaseLaw
CaseLaw
Attorney
1,691 satisfied customers
I requested Max Law to clear my name from debt review. I
I requested Max Law to clear my name from debt review. I signed the contract with them and was told to clear my name will cost about 6600. I then did a payment arrangement with them for 6 months and i… read more
Freddie Lombard
Freddie Lombard
Attorney
Bachelor's Degree
2,705 satisfied customers
If one chooses not to participate and give evidence to
If one chooses not to participate and give evidence to forensic investigators, what are the likely consequences … read more
Freddie Lombard
Freddie Lombard
Attorney
Bachelor's Degree
2,705 satisfied customers
I have dual citizenship//namibian and south african.I travel
good day..i have dual citizenship//namibian and south african.I travel between these 2 countries quite often as a tourguide.According to the authorities in SA,I have to travel on my SA passport.This m… read more
Freddie Lombard
Freddie Lombard
Attorney
Bachelor's Degree
2,705 satisfied customers
The matter which I need assistance with is largely a civil
The matter which I need assistance with is largely a civil matter. A new neighbour has subdivided his property in two portions. The new subdivision is landlocked and abbutts my property boundary line.… read more
Freddie Lombard
Freddie Lombard
Attorney
Bachelor's Degree
2,705 satisfied customers
The bus is register to my mom name then my mother pass away
The bus is register to my mom name then my mother pass away the is no agreement writen down must Igive the back to THE company or keep it … read more
CaseLaw
CaseLaw
Attorney
1,691 satisfied customers
I wanted to find out how i can find out if my debt is
HI Pearl, i wanted to find out how i can find out if my debt is perscribed in SA? i have had no communication from the creditors despite giving them my new details when i immagrated (multiple times) i… read more
Freddie Lombard
Freddie Lombard
Attorney
Bachelor's Degree
2,705 satisfied customers
Christiaan K: We are Micro Lenders. We do our own Debt
Good day Christiaan K: We are Micro Lenders. We do our own Debt Collection in House. I have two questions, which I would like your help on: 1) We have numerous times requested from The Administrators … read more
Freddie Lombard
Freddie Lombard
Attorney
Bachelor's Degree
2,705 satisfied customers
My neigbor cat got into my place a complex home and
My neigbor cat got into my place a complex home and destroyed my things around R2500 I got the quotes it relieved itself on my carpets and broke a window etc I asked them to pay for some damages now the husband is refusing saying i can go to court or do whatever I want he will not pay the damages the complex rules says no cats unless written persmission was given and no permission was given but he is going ballistic on me now and I do not know what to do … read more
Christiaan K
Christiaan K
LLB
169 satisfied customers
I have dual citizenship//namibian and south african.I travel
Second opinion] good day..i have dual citizenship//namibian and south african.I travel between these 2 countries quite often as a tourguide.According to the authorities in SA,I have to travel on my SA… read more
CaseLaw
CaseLaw
Attorney
1,691 satisfied customers
OF BENEFICIARY TO SOMEONES WILL AND THE BARRISTER WILL NOT
GREETINGS, OF I AM A BENEFICIARY TO SOMEONES WILL AND THE BARRISTER WILL NOT TURN OVER ALL DOCUMENTS TO ME, WHAT IS MY RECOURSE AGAINST THIS PERSON? … read more
CaseLaw
CaseLaw
Attorney
1,691 satisfied customers
South Africa, Johannesburg. My story is i was involved in a
hi my name is*****: What state are you in? It matters because laws vary by location. Customer: South Africa, Johannesburg … read more
Freddie Lombard
Freddie Lombard
Attorney
Bachelor's Degree
2,705 satisfied customers
My domestic worker has worked for me for 17 years, she has
My domestic worker has worked for me for 17 years, she has now become ill/disabled and will not be able to continue working. However, she is 39 years of age, therefore too young to go on pension. How … read more
Freddie Lombard
Freddie Lombard
Attorney
Bachelor's Degree
2,705 satisfied customers
Need help have my equipment locked by the land loard for
Need help have my equipment locked by the land loard for none pay ment of rentals … read more
Christiaan K
Christiaan K
LLB
169 satisfied customers
I work in retail is was suspended on dereliction of duties
I work in retail is was suspended on dereliction of duties no other details were given and now the company wants me to do a lie detector test I am afraid if I do fail the test as I am a nervous person… read more
Freddie Lombard
Freddie Lombard
Attorney
Bachelor's Degree
2,705 satisfied customers
I have been trying for the past three months to obtain a
Please help. i have been trying for the past three months to obtain a Divorce Decree Or Divorce certificate to use as evidence of my divorce in 2005. I have the case number ***** date of the divorce B… read more
Freddie Lombard
Freddie Lombard
Attorney
Bachelor's Degree
2,705 satisfied customers
If Eskom is paying me for a servitude, Payable on
If Eskom is paying me for a servitude, Payable on registration. at What point do I make a vat Invoice and when is it payable to Sars. … read more
CaseLaw
CaseLaw
Attorney
1,691 satisfied customers

DISCLAIMER: Answers from Experts on JustAnswer are not substitutes for the advice of an attorney. JustAnswer is a public forum and questions and responses are not private or confidential or protected by the attorney-client privilege. The Expert above is not your attorney, and the response above is not legal advice. You should not read this response to propose specific action or address specific circumstances, but only to give you a sense of general principles of law that might affect the situation you describe. Application of these general principles to particular circumstances must be done by a lawyer who has spoken with you in confidence, learned all relevant information, and explored various options. Before acting on these general principles, you should hire a lawyer licensed to practice law in the jurisdiction to which your question pertains.

The responses above are from individual Experts, not JustAnswer. The site and services are provided “as is”. To view the verified credential of an Expert, click on the “Verified” symbol in the Expert’s profile. This site is not for emergency questions which should be directed immediately by telephone or in-person to qualified professionals. Please carefully read the Terms of Service (last updated February 8, 2012).

DISCLAIMER: Answers from Experts on JustAnswer are not substitutes for the advice of an attorney. JustAnswer is a public forum and questions and responses are not private or confidential or protected by the attorney-client privilege. The Expert above is not your attorney, and the response above is not legal advice. You should not read this response to propose specific action or address specific circumstances, but only to give you a sense of general principles of law that might affect the situation you describe. Application of these general principles to particular circumstances must be done by a lawyer who has spoken with you in confidence, learned all relevant information, and explored various options. Before acting on these general principles, you should hire a lawyer licensed to practice law in the jurisdiction to which your question pertains.

The responses above are from individual Experts, not JustAnswer. The site and services are provided “as is”. To view the verified credential of an Expert, click on the “Verified” symbol in the Expert’s profile. This site is not for emergency questions which should be directed immediately by telephone or in-person to qualified professionals. Please carefully read the Terms of Service (last updated February 8, 2012).

Show MoreShow Less

Ask Your Question

x