Economists are predicting that between 350,000 and 1-million people could lose their jobs as a result of the Covid-19 pandemic and the subsequent nationwide lockdown to curb the spread of the disease.
If you are among the many who may be retrenched, it is good to know what tax you can expect to pay.
The Labour Relations Act says the retrenchment consultation process must include consensus about a severance package, says Annalise de Meillon-Muller, distribution manager at Glacier by Sanlam.
Your final package may include notice pay, severance pay and a gratuity. You will also be entitled to what you have saved in your retirement fund.