Explain the differences between termination and retrenchment.

1. Termination are done by an employer to limit the losses in the business by laying off employees whereas Retrenchment is to increase the profit, it is usually done as a business strategy by shutting down the department or when a more competent employee appears for that position.
2. Termination are practically considered the need of the time for a business, as it has to le go of employees to save the existing business whereas Retrenchment is considered as a business tactic to increase the productivity and output of the business.
3. Termination are temporary in their nature, laid-off employees can be called back when the company runs into a more stable state whereas Retrenchment is the permanent step, an employer will not give the job back to the same employee.
4. During termination business operations of the company stop spontaneously, the company cannot afford to run its operations, whereas during Retrenchment business works smoothly as before, no company operation is hampered
5. Termination dont include the benefits of any kind whereas the Retrenchment includes severance pay. ( Can you elaborate this points) (20 marks)