Principle of Redundancy

A lot of Nigerian have been asking for the requirements of the Principle of Redundancy. This short piece is the extract of the principle from the Labour Act.

20. (1) In the event of redundancy-

(a) the employer shall inform the trade union or workers' representative concerned of the reasons for and the extent of the anticipated redundancy;

(b) the principle of "last in, first out" shall be adopted in the discharge of the particular category of workers affected, subject to all factors of relative merit, including skill, ability and reliability; and

(c) the employer shall use his best endeavours to negotiate redundancy payments to any discharged workers who are not protected by regulations made under subsection (2) of this section.

(2) The Minister may make regulations providing, generally or in particular cases, for the compulsory payment of redundancy allowances on the termination of a worker's employment because of his redundancy.

(3) In this section "redundancy" means an involuntary and permanent loss of employment caused by an excess of manpower.