Results 1 to 2 of 2

Thread: Ready to retire

  1. #1
    New Member
    Join Date
    Feb 2020
    Location
    Port Elizabeth
    Posts
    1
    Thanks
    0
    Thanked 0 Times in 0 Posts

    Ready to retire

    I am ready to retire from my 'one man show' company. I initially expected my son to take over the business but he has informed me that moving abroad is a better option for him. I have therefore decided to close the business in no more than 3 months, less if it is possible to wind up the affairs before then.

    I have in my employ one admin clerk who started in Dec 2018. How do I go about retrenching her? Specifically, how much notice does she need and does she have to work until the day I finally lock the front door, or can I let her go as soon as I no longer require her services? Although it is not my intention to actively market the business, what happens if, whilst in the process of winding up, I get an offer to purchase the business as a going concern would the new owner be obliged to employ her?

    Advice would be much appreciated.

  2. #2
    Site Caretaker Dave A's Avatar
    Join Date
    May 2006
    Location
    Durban, South Africa
    Posts
    22,648
    Thanks
    3,304
    Thanked 2,676 Times in 2,257 Posts
    Blog Entries
    12
    Quote Originally Posted by readytoretire View Post
    I have in my employ one admin clerk who started in Dec 2018. How do I go about retrenching her? Specifically, how much notice does she need and does she have to work until the day I finally lock the front door, or can I let her go as soon as I no longer require her services?
    As a micro employer, this is pretty simple. For larger enterprises there can be lots of consultation with staff required...
    So for you:
    You will terminate employment for operational reasons.
    Practice is to pay one week's pay for each completed year of service.
    Notice will be as per the employment contract and you can let her go once you no longer require her services.

    Quote Originally Posted by readytoretire View Post
    Although it is not my intention to actively market the business, what happens if, whilst in the process of winding up, I get an offer to purchase the business as a going concern would the new owner be obliged to employ her?
    If the purchaser buys the business as a going concern, then the employment is deemed as continuous.
    However, the purchaser may retrench for operational reasons and place the cost thereof on you as the seller in the sales agreement.

  3. Thanks given for this post:

    flaker (24-Feb-20)

Similar Threads

  1. Anyone else planning to retire early?
    By Pap_sak in forum General Chat Forum
    Replies: 18
    Last Post: 20-Feb-15, 08:28 AM
  2. How ready are we for IPv6?
    By Dave A in forum Technology Forum
    Replies: 5
    Last Post: 08-Jun-11, 04:10 PM

Did you like this article? Share it with your favourite social network.

Did you like this article? Share it with your favourite social network.

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •