Discharge Simpliciter vis-a-vis Retrenchment – A perspective during Covid

A discharge simpliciter is also a termination of service which does not fall within the ambit of four exceptions and therefore discharge simpliciter can be treated as a
retrenchment.

COVID19 has posed unprecedented challenges for industries across the world including India. The colossal impact of the pandemic is so noxious thatmany industrieswill find its survival at stake. Industries across board may be forced to take various harsh measures to tone down on its liability and costs.Though extremely painful many industries may even have to resort tomass scale termination by way of retrenchment or otherwise in order to stay afloat. In view of the stringency in Indian Labour laws for retrenchment can the employer as a substitute to retrenchment invoke discharge simpliciter in mass scale to reduce his liability in this VUCA scenario. In order to appreciate these complexities this article attempts to understand the following issues:

i) Can industries bypass the Retrenchment route and go for mass scale...

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April 2024

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