Scallan v Cadbury (Pty) Ltd (1232/05)
Scallan v Cadbury (Pty) Ltd (1232/05) [2007] ZAECHC 59; (2008) 29 ILJ 600 (SE) (28 August 2007)
The court found that the plaintiff was an affected employee as defined in the addendum to the retrenchment guidelines, as his position was eliminated due to the restructuring. The evidence showed that the plaintiff acted on the basis of the retrenchment notice and that Cadbury accepted his status as an affected employee. The court held that the retrenchment process resulted in a consensual termination of the employment relationship upon agreed terms, entitling the plaintiff to the severance package. However, the plaintiff was not entitled to the pro rata AIP bonus, as his employment terminate…
Source excerpt
- Severance Benefits
- Retrenchment
- Consensual Termination
- Redundancy Package
- Contractual Entitlement