SEVERANCE PAY ENTITLEMENT
Severance pay is usually only paid to workers who have been made redundant or retirees, and in very rare cases, people who resign can also qualify. An employer is not required to pay severance to workers if everyone is being severed, owing to the fact that the business is being closed down; however, the employer must pay severance if only a portion of the workforce is being made redundant. Firstly, according to Section 6 of the Retrenchment and Severance Benefits Act 1985, as amended, the employer is required to give the employees 45 days notice in writing. Secondly, your rights (if you...
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