Retrenchment or Downsizing
1. Concept [r] “Retrenchment” refers to the economic ground for dismissing employees and is resorted to primarily to avoid or minimize business losses. (DOLE DEPARTMENT ORDER NO. 147, SERIES OF 2015, Rule I-A, Section 4) Retrenchment is the termination of employment initiated by the employer through no fault of and without prejudice to the employees….
