articles - Labour and employment law

In practice, it may happen that an employee, who is within a period of notice, seriously breaches basic duties, giving the employer grounds to terminate the employment contract without notice (a disciplinary dismissal). In such case, the employer will not have to wait for the period of notice to expire: the employer will be able to terminate the contract immediately due to a fault of the employee, without having to withdraw the earlier notice of termination.

Nevertheless, such a decision carries significant legal consequences as the employee may appeal against both the notice of termination and the disciplinary dismissal. Furthermore, the only provision of the Labour Code that explicitly governs the effects of an immediate termination of employment due to a fault of the employee within a period of notice is Article 60 of LC, and it does not cover all possible situations. Below, we discuss common scenarios and their practical implications for employers.

The shorter a regulation, the more questions and doubts it raises. And so it is in the case of Article 101(2) § 3 of the Labour Code, which regulates the minimum amount of compensation for a non-compete clause (or restrictive covenant) after employment termination. Compensation may not be lower than 25% of the remuneration the employee received before employment termination, for the duration of the competition ban. How this is interpreted is important.   

Employee sickness and absenteeism from work are inherent business risks which the employer has to take into account. An employee's absence from work can be so frequent that it significantly affects the functioning of the workplace. In such situations, it may be in the employer’s interest to terminate such an employee’s employment contract and hire someone else to take their place. Labour Code provisions oblige employers to specify the reason justifying such a decision in the notice terminating indefinite-term contracts (Article 30 § 4 of the Labour Code). Does regular sickness absenteeism...

Employment contract termination is one of the most important legal actions in relation to an employer – employee, as it terminates the legal relationship binding them. An employer must diligently prepare for termination of an employment contract. Any error on his part may result in the need to pay compensation to an employee or even to reinstate the employee at work on previous terms.  

Employees expecting to receive termination notice often take sick leave to protect themselves from dismissal (or at least to postpone it). During the coronavirus pandemic, the risk of losing a job is increasing, whilst digitally obtaining a medical certificate is easier than ever. When dismissals have to take place in unusual circumstances, e.g. during a period of remote work, it is important to be familiar with the rules concerning termination of employment in the event of an employee's illness. Contrary to popular belief, it is not the illness itself that guarantees protection against...

Due to the current situation caused by the spread of SARS-CoV-2, entrepreneurs are forced to cut costs. When other measures are insufficient, staff reductions may be necessary. Whether such redundancies take place collectively or individually, the rules on employment contract termination will still apply.