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replace unfair dismissal laws with an automatic severance entitlement

Comment 10th July 2010

Divorce is no fault. So should employment terminations be. The statutorily 'fair' reasons for dismissal are invariably excuses to justify the breakdown in a relationship with a measure of fault on both sides but more importantly a recogniition that it has become impossible for whatever reason for two people to carry on working together.

At the very least, employees should be entitled to contract out of their statutory employment rights more easily where they instread contract in to a generous severance scheme.

Why does this matter?

Too much time and money is spent by people picking over the bones of a failed relationship when they should be looking to the future.  The current unfair dismissal laws also confuse the idea that compensation is due to employees for good service over many years (the basic award) and that compensation is due for the way the relationship ended (the compensatory award). In fact, all service should be recognised by a severance entitlement.

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