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A business needs to reduce its workforce for financial reasons - HSC - SSCE Business Studies - Question 16 - 2016 - Paper 1
Question 16
A business needs to reduce its workforce for financial reasons. All its employees are equally skilled and have 3 years of service. Which staff member should be dism... show full transcript
Worked Solution & Example Answer:A business needs to reduce its workforce for financial reasons - HSC - SSCE Business Studies - Question 16 - 2016 - Paper 1
Step 1
Which staff member should be dismissed first?
Answer
In considering which staff member should be dismissed first, it is essential to apply appropriate criteria guided by ethical and legal standards. When selecting for redundancy:
- Casual Employee: A casual employee typically lacks permanent status, making them often first in line for dismissal due to the temporary nature of their employment.
- Pregnant Employee: Dismissing a pregnant employee could raise serious ethical and legal issues, making this option less favorable and potentially unlawful.
- Part-Time Employee: Similar to casual employees, part-time employees provide flexibility. However, they may have specific protections depending on local laws.
- 66-Year-Old Employee: Age discrimination laws in many regions provide protections for older employees and could make it inadvisable to dismiss based solely on age.
Given these factors, the best choice would be to dismiss the casual employee first as they are typically employed under less secure conditions.