Sir, Is the retrenchment act, as per law, applicable to managerial cadre who are working in the production area in a manufacturing company?
If applicable, how is the service calculated from the date of joining?
From India, Bengaluru
If applicable, how is the service calculated from the date of joining?
From India, Bengaluru
There is no Act called Retrenchment Act. The provisions relating to retrenchment is available in Industrial Disputes Act 1947. According to ID Act, managers (whether working in manufacturing establishment, mine, plantation or any other establishment) are not covered by any of the provisions of this Act. Therefore, the process of termination of a manager will be carried out as per the contract of employment/ appointment order given and accepted by him. If there is a notice period mentioned in it, you can follow that.
A person designated as manager need not be a manager so that the provisions of the ID Act shall not be made applicable to him. In order to be excluded from the scope of the Act, he should have managerial powers and responsibilities, like power to appoint, authority to dismiss, authority to initiate disciplinary action, authority to appraise the performance or at least a power to approve leave.
From India, Kannur
4224A person designated as manager need not be a manager so that the provisions of the ID Act shall not be made applicable to him. In order to be excluded from the scope of the Act, he should have managerial powers and responsibilities, like power to appoint, authority to dismiss, authority to initiate disciplinary action, authority to appraise the performance or at least a power to approve leave.
From India, Kannur
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Retrenchment u.Sec.25 of ID Act-SC judgment.pdf
IMPACT OF RETRENCHMENT ON RECESSION.ppt
RETRENCHMENT ANNEXURE.doc