A term used to describe a contract as being invalid and unenforceable.
When the employee enters into an agreement with his/her employer to be retrenched, not to claim unfair dismissal and not to claim additional pay, in return for payment of a retrenchment package which includes his/her severance pay, leave, other pay s/he is legally entitled and additional benefits. An agreement will come into force on acceptance of the voluntary retrenchment offer.
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