It’s generally considered unethical (or though not unlawful) for companies to prioritize asset liquidation over the welfare of their employees. Employees often rely on their jobs for financial stability, and when companies sidestep their obligations, it can have devastating effects on workers’ lives!

Employers however do have a right to retrench in terms of S189 of the Labour Relations Act which allows employers some personal protection if things do not turn out right for the organisation.  See a lawyer if you are worried that your organisation is not acting lawfully.

LP