A restraint of trade agreement in an employment contract states that on termination of employment, such employee will be restricted from working in a specific industry, for a specified period and in a certain geographical area. The purpose of a restraint of trade agreement is to protect the employer's business interests to retain its competitive edge (such as trade secrets, confidential information and client base), which a competitor could use to the employer’s detriment. The laws of contract...

When dismissing an employee due to the operational requirements of a business, the employment relationship is ended due to no misconduct on the part of the employee. A retrenchment is thus seen as a “no-fault” dismissal. A severance package is calculated and paid to the affected employee to compensate for their loss of employment and assist the retrenched employee while seeking alternative work. Sections 35 and 41 of the Basic Conditions of Employment Act (BCEA) should be consulted when...

Most employers find themselves with employees that have joined a trade union. An employee is entitled to join any trade union of their choice. Most employers are then unsure what impact this has on their business and whether they must recognise the trade union in the workplace and if they should have meetings or consultations with the trade union. The Labour Relations Act (LRA) stipulates that if a trade union has recruited members in your workplace, it must be sufficiently represented therein...