On this page
- Understand retrenchment and assist workers affected by the process
- Identify additional support services
Jobs Victoria Workers in Transition (WiT) provides information, tools and resources to help both business and workers through retrenchment processes and into new opportunities.
What is redundancy and retrenchment?
Redundancy and retrenchment are different terms that are sometimes confused.
A redundancy occurs when a specific position within a business is no longer required. In this situation, an employee may be redeployed to another position where suitable. If they cannot be redeployed, they may be retrenched.
A retrenchment occurs when an employee loses their position and cannot be redeployed because no other suitable positions exist.
Alternatives to retrenchment
To avoid retrenching skilled employees, who may need to be re-employed once the market has recovered, a business should consider alternative cost-cutting and business development activities.
There are many support services in Victoria, both government and non-government, that provide advice and direction about the various options available to help businesses survive challenging times.
Employers need to consider the cost of the retrenchment of workers as part of the retrenchment process.
Checklist for employers
Jobs Victoria Workers in Transition has developed a checklist for employers to help you establish what you need to do if you intend to retrench staff.
|Discuss your business issues with a business mentor or industry group such as the Victorian Employers Chamber of Commerce and Industry (VECCI) or The Australian Industry group (AiG).||https://victorianchamber.com.au/|
03 8662 5333
1300 55 66 77
|Look at other options before deciding to retrench staff e.g. restructure; reduced hours with agreement of employees, etc.|
|Consult with Business Victoria regarding options and advice for businesses facing challenges.||https://www.business.vic.gov.au/|
13 22 15
|Consult with your employees and union/s on the planned changes.|
|Advise the Commonwealth Department of Human Services - Centrelink of the proposed retrenchments.||https://www.humanservices.gov.au/organisations/business|
13 11 58
|Check your Enterprise Bargaining Agreement (EBA) or Award to confirm your obligations.|
Check you are meeting your obligations as a business regarding:
|Contact the Jobs Victoria Workers in Transition team to arrange a seminar to support and assist your retrenched workers throughout the process.||https://jobs.vic.gov.au/|
1300 208 575
|Consider contacting local companies in your industry or similar industries who may have vacancies.|
|Consult the Fair Work Ombudsman||https://www.fairwork.gov.au/ending-employment/redundancy/redundancy-pay-and-entitlements|
|Understand business taxation and obligations at the Australian Taxation Office (ATO)||https://www.ato.gov.au/|
Jobs Victoria Workers in Transition
Jobs Victoria Workers in Transition (WiT) program is designed to help businesses and workers facing retrenchment and can be contacted to organise an information session for employees.
Use the information below to ensure you meet your obligations and provide employees with everything they need.
Here you can find more information about businesses facing retrenchment.