The three grounds on which an employer may dismiss an employee include:

1. Misconduct: Dismissal may occur due to serious misconduct by the employee, such as theft, fraud, insubordination, or violence in the workplace. These actions breach the terms of employment and give the employer justifiable grounds for immediate dismissal.
2. Incapacity: An employer may dismiss an employee on the grounds of incapacity, which could involve poor job performance, incompetence, or chronic illness that prevents the employee from performing their duties. The employer must often follow due process before dismissing on these grounds.
3. Redundancy: Employers may dismiss employees if the position is no longer required due to operational changes, financial difficulties, or restructuring. In this case, the dismissal is not due to any fault of the employee but the economic or operational realities of the employer’s business.