Define Retrenchment.

Retrenchment Definition:

Retrenchment refers to the strategic and deliberate reduction of an organization's workforce, often initiated as a cost-cutting measure or in response to economic challenges, restructuring, or changes in business requirements. It involves the termination of employees' services due to reasons such as redundancy, financial constraints, or the need to streamline operations. Retrenchment is typically a last resort for organizations facing economic downturns or significant shifts in the industry landscape. The process may involve offering severance packages, counseling, or other support measures to mitigate the impact on affected employees. Retrenchment is a complex and sensitive organizational decision that requires careful consideration of legal, ethical, and social implications, as well as communication with impacted employees and relevant stakeholders.