When terminating employment during a probationary period, a one week notice applies if the length of service is longer than one month. In case of indefinite contracts which extend beyond the probation period, notice has to be given prior to the termination of employment. Notice is to be given either by the employee, or by the employer in cases of redundancy. Notice is calculated on the employee’s continuous length of service, as follows:
- Not more than one month - No notice
- More than one month and up to six months - One week
- More than six months and up to two years - Two weeks
- More than two years and up to four years - Four weeks
- More than four years and up to seven years - Eight weeks
- More than seven years and up to eight years - Nine weeks
- More than eight years and up to nine years - Ten weeks
- More than nine years and up to ten years - Eleven weeks
- More than ten years - Twelve weeks
Longer periods may be agreed by the employer and employee in the case of technical, administrative, executive or managerial posts. The established notice period cannot be extended.
TERMINATION AND NOTICE
NOTICE IN CASE OF TERMINATION BY THE EMPLOYEE
If the employee chooses to cease performing work on receiving notice from the employer, the employer is obliged to pay the employee a sum equal to half the wages that would be payable in respect of the unexpired period of notice.
If after giving notice, the employee fails to work during the notice period, s/he will be obliged to pay his/her employer a sum equal to half the wages that would be payable in respect of the unexpired period of notice.
NOTICE IN CASE OF TERMINATION BY THE EMPLOYE
If the employee is not given the chance to work the notice, the employer would be obliged to pay the employee a sum equal to full wages that would be payable in respect of the unexpired period of notice.
If the employee chooses to continue performing work until the period of notice expires but the employer precludes him/her from so doing, the employer would be obliged to pay the employee a sum equal to the full wages that would be payable in respect of the unexpired period of notice.
FAILING TO GIVE NOTICE
If the employee fails to give notice s/he shall be liable to pay to the employer a sum equal to half the wages that would be payable in respect of the period of notice that is not worked. An employment can be terminated without notice or obligation to compensate for notice when the length of service is not longer than one month, or when there is a good and sufficient cause (eg. disciplinary action).
FIXED TERM CONTRACTS
A fixed term contract can be terminated during its applicable probation period without assigning any reason. However, one week notice (by either party) applies if the employment exceeds one month.
Where there is not a justified reason to terminate an employment that is on definite basis after the probation period, the party who breaches the contract is liable to pay the other party a sum equal to one-half of the full wages that would have accrued had the contract of employment remained in force.
In situations of redundancy at the place of work, employees on fixed term contracts are also affected by the procedures of last in/first out in the same category, as other employees on indefinite contracts. Employees who are so affected by redundancy are entitled to be paid compensation as indicated in the paragraph above.
On the termination of a contract of service lasting over one month, the employer shall be bound, at the employee’s request, to give him/her a certificate stating the duration of the employment, the nature of the work or services performed and, if the employee so desires, the reason for the termination of the contract, and the rate of wages paid. The employer shall not be required to state the reason of termination of employment, if the employment was terminated during probation.
Redundancy and Unfair Dismassal
The employer is under a legal obligation to re-engage an employee previously dismissed on the basis of redundancy if the post formerly occupied by him/her becomes available within a period of one year from the date of dismissal. If the employer breaches this legal obligation, the employee can initiate proceedings before the Industrial Tribunal within four months from the said breach.
An employee who alleges unfair dismissal can lodge a complaint to the Industrial Tribunal within four months from the dismissal.
Settlement of Outstanding Dues
Without prejudice to what may be due under the law relating to notice, the employee is entitled to be paid for all entitlements, on a proportional basis according to the period of employment. Employees who had their employment terminated are to see that they receive any remuneration that may be due to them that include wages, overtime payments, statutory bonuses, notice money and monetary settlement of leave not availed of. All outstanding wages should be settled by the next pay date following the termination of employment. An employee who is not paid for his/her work or does not receive his/her wage on time must first bring this to the attention of his employer. If the employer persists in not issuing the payment due, the employee can report the matter to the Department of Industrial and Employment Relations for action from its end.
DECLARATION OF TERMINATION OF EMPLOYMENT
Employers are also required to notify Jobsplus of any termination of employment of any workers by completing a termination form.
Jobsplus will acknowledge all termination forms received within 15 working days.