What happens if we want to retrench a few staff due to excess of employees?

What happens if we want to retrench a few staff due to excess of employees? 1)1) How many month we have to pay them?
2) Is there any thing else without the compensation pay?

Faizati,
Retrenchment of employees can be a problematic issue.
1. You need to justify why your company need to retrench those employees.( Overstaff / Downsizing/Poor Business , etc )
2. How do you select employees to be retrench
3. The retrenchment conditions and compensation amount should have been included in the company's handbook.
4. To avoid complications and comply to local labor law it is always advisable to seek advise before any action taken .

Hi,
Any industrial dispute act 1947, all legal dues needs to be cleared like:
1. Retrenchment Compensation
2. Notice Period
3. Leave Wages
4. Gratuty (If applicable)
5. Bonus
6. Ex- Gracia payment (if management desires so.)
Regards,
Komal