9

Special pro- vision as to termination of contract in case of strike.

(z). 1965 €. 622,

Set-off of gratuity or

provident

fund

payment

against

severance pajament,

Provided that the employee may elect to have his wages averaged over the period of twelve months immediately preceding the relevant date.

(2) Where an employee, who is employed other- wise than by way of manual labour, is dismissed by reason of redundancy or is laid off and at the time of such dismissal or lay-off earned wages exceeding $2,000 per month but within a year prior thereto earned wages for any period not exceeding $2,000 per month, he shall be entitled to a severance payment in respect of the whole of the period of employment during which his wages did not exceed $2,000 per month.

(3) For the purposes of this section, the period of employment under a continuous contract shall not include any such employment occurring more than five years prior to the day appointed by the Governor pursuant to section 31B(1),

(4) In this section. "wages" shall not include any payments in respect of overtime.

31B. Where an employee, who has been given notice by his employer to terminate his contract of employment, takes part in a strike before the expiry of that notice in such circumstances that the employer is entitled by reason of his taking part in the strike to treat the contract as terminable with- out notice, and the employer for that reason termi- cates the contract as mentioned in section 31C(1), that subsection shall not apply to that termination of the contract.

311. (1) Subject to subsection (2), where an employee is entitled —

(a) by virtue of this Part, to a severance pay-

ment; and

(5) by virtue of—

( the terms of his contract of employ- ment, to a gratuity based upon length of service; or

(ii) a provident fund scheme or arrange- ment, to a payment thereunder,

Change of ownership of business. 1965 . 62, L 13.

the severance payment shall be reduced by the amount of the gratuity or provident fund payment (as the case may be paid to that employee.

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(2) For the purposes of subsection (1), a pro- vident fund payment shall pot include that part (if any) of the payment which represents a return of an employee's own contributions, including any sum payable in respect of interest thereon.

31J. (1) This section shall have effect where- (a) a change occurs (whether by virtue of a sale or other disposition or by operation of law) in the ownership of a business for the par- poses of which a person is employed, or of a part of such a business; and (b) in connexion with that change the person by whom the employee is employed imme- diately before the change occurs (in this section referred to as "the previous owner") terminates the employee's contract in accor- dance with section 6 or 7.

(2) If, by agreement with the employee, the person who immediately after the change occurs is the owner of the business or of the part of the business in question, as the case may be (in this section referred to as "the new owner") renews the employee's contract of employment (with the substi- tution of the new owner for the previous owner) or re-engages him under a new contract of employment. section 31D(2) sball have effect as if the renewal or re-engagement had been a renewal or re-engagement by the previous owner (without any substitution of the new owner for the previous owner),

(3) If the new owner offers to renew the emu- ployee's contract of employment (with the substitu- tion of the new owner for the previous owner) or to re-engage him under a new contract of employment, but the employee refuses the offer, subsection (2) or (3) of section 31C (as the case may be) shall have effect, subject to subsection (4), in relation to that offer and refusal as it would have had effect in rela- tion to the like offer made by the previous owner and a refusal of that offer by the employee.

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