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Labour Relations Act, 1995 (Act No. 66 of 1995)

Labour Market and Human Resource Development for Job Creation Social Plan

3. Principles



1) The NEDLAC parties have committed themselves to the following principles which define the social plan approach:


2) A social plan approach is applicable where there is a threat of large scale retrenchments which impact on sectoral, regional or national interests.


3) The social plan approach aims to ameliorate the social and economic impact for individuals, regions and the economy.


4) A social plan approach promotes negotiation about threats to employment security and measures which can be taken to avoid employment decline.


5) A social plan approach is essential in cases where there is a reasonable possibility that alternatives could be developed to save jobs.


6) The nature of the social plan approach


7) A social plan comprises a basket of instruments characterised by focused programmes directed at achieving short, medium and long term goals.


8) A social plan approach requires the participation of labour, government and business and will involve interventions at various levels,


9) The social plan approach is subject to the Labour Relations Act, 1995, and the Code of Good Practice on Dismissals for Operational Requirements.


10) While the social plan approach will assist parties with appropriate measures and in obtaining government assistance, it does not prevent them from pursuing alternative strategies to achieve the same goals.