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Post Info TOPIC: Restructuring
Anonymous

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Restructuring
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When a company decided to restructure, what are the responsibilities of the employer towards the employees and on what conditions may a company decide to restructure? b



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Anonymous

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Since the ccma role is behind I can take a few minutes to answer this inquiry................ Corporate restructuring happens on a daily basis in all companies, whether it is a change in accounts, operations or any other aspects of a business................ This is essential to keep the company alive, adopt to market changes or to restructure income V expenses, to name but a few............... In fact, there is companies that specialize in the restructure of other companies............. Your question is thus placed in wide terms and difficult to answer specifically............ The answer is yes a company can structure every aspect of its operations, depending on the structure I have seen that some companies dismiss employees based on operational requirements (due to restructuring whereas the position\s of employee\s became redundant), or, in other cases a bigger workload came into the company that triggered the restructuring to accommodate the workload, employees get promoted and positions created. Therefore to answer your question in more detail I would need more information..........do not be afraid of this concept, let them first place out in writing what they intent to restructure, thereafter will you be in a position to asses the situation more clearly........... Hope it helps....... Rautenbach and associates.

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Anonymous

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In the event of a restructuring and the company issuing a section 189 notice, what are my rights with regards to my position being simply called something else and re-evaluated at a lower level and significantly lower salary?

 

I am told I can either apply for the 'new' position at a lower salary level or accept a voluntary severance package?

 

Please advise.



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Anonymous

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This is a question with an answer you probably will not like........... My advise will be NOT to handle or conduct further proceeding herein yourself, my opinion is bassed. on the following: " The man that represent himself has a fool for a client" you are emotionally involved with the concept of fearing the future and therefore not wise to conduct these matters on your own.......... I know that some experts on this forum might disagree with me and therefore invite their respective views hereon........ I would like to refer to this matter: Numsa & others V Dorbyl Ltd T(2004, BLLR 914) in this case the employer dismissed 122 employees in terms of section 189 of the LRA, the court looked much closer to the origin and PROCUDURE that followed these dismissals and has wiped the employer so hard that they should still feel it today........... 1. There is nothing or no such thing as a speedy retrenchment, the employer should have a thorough consultation with you or your representative, it is unfair that the employer can decide on executive levels which employees to retrench and consult with you thereafter although a foregone conclusion is already reached, this seems to be your case............... The courts and ccma view this type of dismissal as "a no fault to employee" dismissal and they do not hesitate to protect the rights of the employee......... The consultation would be to consider and explore possibilities of further and future employment this include the "impact" that such retrenchment will have on you and your personal circumstances, to offer you a reasonable alternative, once rejected severance pay will be the outcome........ To only give you these options as listed in your query says to me that the employer has already decided on this matter, were you where not part of or properly consulted, and now compel you to accept a demand which render this an automatically unfair dismissal............. Disclosure of relevant information such as 1. Valid reasons for position redundancy 2. Valid and reasonable conclusions to targeted employees and others are of fundamental importance........... Without these factors been explored properly, you might end up holding the shortest straw. Remember, there are no such thing as a speedy retrenchment, so time is granted or in some cases forced down by means of interdicts and so on stubborn employers.......... You have the right to know use your time and seek help immediately. Hope this help...... Rautenbach & Associates

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Anonymous

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Thanks for your response.

The company has consulted with me, they held one meeting with the team and proposed the new structure. We were told that the name of the said position would change, but not that the job would drop to a lower level. We were also informed of the number of heads the company needed to reduce by. So in essence, I was assured that my job would not be impacted.

Two months later, in negotiations with the unions, the new structures were proposed and that is how I found out that my 'newly named' position would be at a significantly lower level. Also, because this is a 'new' position, we have to re-apply. (What if I fare badly in the interview??) That doesn't make sense, surely if I am already performing the function (Even if it is now called by another name at a lower level) I should automatically get the post? I can understand if this position was evaluated at a higher level, yes then by virtue of the higher position having more accountability, people should re-apply.

I am told that in the event that I do not get the position, the company will endeavour to place me in another section, if no suitable arrangement can be found, then retrenchment.

If I do get the  'new' position, I have calculated that the drop in levels would equate to approx. 1/3 of my salary. Is it legal to just drop some ones salary like that?



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Anonymous

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I am shooting blank here, without any supporting evidence in front of me, in essence it is my view that the company did not properly consult, they have already propose changes and told you of the changes and who would be effected, this is according to me a clever disguise on a decision forgone reached............ To apply for a position that exist with the same standard and operational requirement is according to me not correct, this is my opinion that the employer utilize the ability to force down lower salary for exactly the same position the process does not sound right, you say unions negotiated, what was the outcome and documentation requested to support section 189 action? My advise is to contact the union set up a meeting and talk to them let them show you what they have and what is negotiated from then make a decision. Remember that a position must be redundant, it seems that the position is open, they just gave it a new name and now force down lower salary this is unfair. Hope it helps. Also remember you do not need to by only represented by a union you may opt to instruct some one else. Rautenbach & Associates

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Anonymous

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Im sorry, and thank you for indulging me.

 

I do not understand, if the company was given permission by the CCMA to issue a section 189 notice, doesn't that mean that they have permission to change the structures at their discretion? so they can change the structures and job levels as they feel and its not a case of a 'decision forgone reached' (not sure if im saying this correctly), they don't actually need to consult with us and get our permission on how they change the structure???

 



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Anonymous

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This message is only to say that I have read your reply and will answer shortly. Rautenbach & Coetee

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Anonymous

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I have give this a bit of thought, firstly the ccma does not need to give permission to an employer to issue a section 189 notice, yes an employer can structure and does not need your permission HOWEVER there is a BIG difference between Information (including informing process), negotiation, Consultation and Processes that surround and follow each case........ Now if you would allow me I would like to do a formal opinion on this matter, since it is a FREE advise forum I offer to do an opinion free of charge with the understanding that after I handed it to you, you must comment on this forum how you experienced same, this will establish my credibility with Labour Protect....... I will draft same over the weekend and E-mail it to you on Sunday Night..... I would need the following from you: 1. A detailed description of events from beginning to now (you may change names if you like I do not need to know real identities) 2. The notice in terms of section 189 and what you would like to happen example keep my job and what you are afraid of example reapply for position...... NOW you must understand an opinion is based on what my take is of what you say, measured against statutory law, common law principles and case law, it is not a strategy or promise to represent......... Please forward any other documentation or comments that you feel can assist me. The faster you do it the faster I can begin..... My E-Mail: werner.labourlaw@gmail.com regards Rautenbach & Associates

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Anonymous

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will do.

 

Can I have your contact number please?



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Anonymous

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Pop me a mail, my contact details will be portrayed thereon, I do not want to post contact details.

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