What is the result of an employee's actions leading to their loss of employment called?

Study for the NCEA Level 1 Business Studies Test. Engage with interactive questions, complete with hints and detailed explanations. Prepare effectively for your exam!

The term that describes the result of an employee's actions leading to their loss of employment is dismissal. Dismissal occurs when an employee is terminated from their position due to reasons that can include misconduct, non-performance, or violation of company policies. This process usually involves a formal procedure where the employer communicates the reasons for termination to the employee. Dismissal is often a consequence of the employee's actions that the employer deems unacceptable, thus resulting in the loss of their job.

In contrast, layoff typically refers to a situation where employees are let go due to economic reasons, such as a lack of work, rather than the individual’s personal actions. Separation is a broader term that can encompass various forms of ending the employment relationship, including resignations or retirements, not just terminations due to misconduct. Retrenchment refers specifically to reducing staff numbers as part of a financial strategy, often unrelated to the behavior of the individual employee.

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