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FLA retrenchment guidelines

These guidelines for FLA member companies provide suggestions whose suppliers or facilities may be involved in retrenchment and closures for operational reasons.

Retrenchment also referred to as redundancy, downsizing, or closure based on operational requirements occurs when the employer has bona fide economic, technological, structural, or similar reasons to reduce the size of the workforce.

Observance by factories that supply FLA member companies of the guidance provided in this document would ensure they operate in a manner consistent with international labor standards, domestic law, and the practices of company leaders in the labor compliance field.

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