Tag: salary cut

For a country always in need of cheering up, recent news of better-than-expected economic growth was most welcome. StatsSA data showed that the economy grew by 4.6% after inflation in the first quarter on a seasonally adjusted and annualised basis.

The COVID-19 pandemic has brought the global economy to its knees, and inevitably many employers will need to contain costs by cutting salaries. Being hit with a salary cut or a retrenchment is something every employee dreads, but it’s important not to panic and to manage the situation as responsibly as possible.

Countless businesses have come to a grinding halt during lockdown and the fear that this will affect their employees on a personal level is very real. Many are struggling to pay their staff and are having to decide whether to implement salary cuts or begin retrenchment processes.