Economic, Technical or Organisational Defence
- The economic, technical or organisation (“ETO”) defence is relevant to:
- Dismissals where the sole or principal reason for the dismissal is the transfer;
- Agreed variations of contractual terms where the sole or principal reason for the variation is the transfer.
- There is no statutory definition for the ETO defence but it is apparent from the phrasing that there are two issues that need to be considered namely:
- Was the reason: economic, or technical or organisational?
- If so, did this reason entail a change in the workforce?