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The Court of Appeal upheld a finding that the redundancy was unlawful for lack of prior consultation, and affirmed compensation of twelve months' salary.
The High Court upheld the retrenchment for valid operational reasons, but held that severance pay had to be paid separately from the golden handshake.
The collective agreement, having been implemented for years and not rectified or challenged by the applicant, is valid and enforceable; denying the respondent payment under it while others were paid constitutes discrimination.
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