Retrenchment Criteria & Procedure - having problem with 10 employee's Attitude and absenteeism and low productivity

Dear Seniors, We are Engineering Industry Manufacturing Commutators for Automobile Industry and Railways. Presently we are having 45 permanent workmen apart from Contract labours. Out of this 45 employees we are having problem with 10 employee's Attitude and absenteeism and low productivity. We are not in a position to take any action as they are having Union. Our Management is thinking of retrenching these employees. Kindly let us know the procedure to be followed for this retrenchment.

Retrenchment cannot be done on a pick and choose basis. The principle of 'last come first to go' applies otherwise such retrenchment will be invalid and illegal. If there are disciplinary issues concerning these employees, then you may have to go for disciplinary action. Let me speak on the basis of my experience, you don't have to take action against all, pick the weakest among them
in terms of the capacity to resist and take quick action, it will serve as a warning to others and many would fall in line.

Dear YD GOPAUL,

I agree with @KK!HR, You can't retrench them just like that because the policy of Last come first out will apply else it will be illegal. You can take the disciplinary action against them. Please select one weakest person give the notice and build the substantial documents then you can take the action after domestic enquiry. It may helpful to handle others easily.