| 1. Is it a legal
requirement that employees must receive an employment
contract ? |
A contract is not necessary, but
the main terms of employment should be provided in writing
including the names of the parties, the type of work
to be performed, remuneration, working hours/vacation
time, notice periods and any references to a collective
bargaining agreement. It must be provided to the employee
one month after the start date. |
| 2. What factors constitute
a fair dismissal i.e.legally justifiable reasons to
terminate employment without the need to pay compensation?
|
Justifiable reasons: personal; performance
and operational or economic reasons. Instant dismissal
possible for gross misconduct.(Protection is for employees
who have worked for more than 6 months in companies
of more than 5 employees). |
| 3. What is good practice
with regard to dismissal procedures to minimise the
risk of claims for unfair dismissal? |
Different procedures for the situations
above. Generally important to provide warnings and have
complete documentation and consult with the works council
(where appropriate).Often litigation commenced regarding
the effectiveness of the termination, with the intent
of receiving severance pay, although severance pay compensation
is unusual - usually reinstatement. |
| 4. If an employee
is dismissed unfairly what is the financial range of
compensation that can be made to employees? |
If the dismissal is unjustified,
the termination is void and the relationship continues.
However, in practice employer and employee often agree
that the termination was valid and the employee receives
a negotiated severance payment.If a labour court rules
that the dismissal has not been justified, it will reinstate
the employee. If this is generally disagreeable, the
court may award compensation. Compensation depends on
the circumstances of each case (e.g. length of service,
age, marital status, etc.) but not more than 18 months
salary. The average calculation is ½ the gross
monthly salary for each year of service. |
| 5. Do employees have
the right to be members of a trade union? |
Yes |
| 6. Is there any legal
requirement for an employer to contribute to a pension
for employees? |
Yes, under public pension insurance
schemes (part of the state controlled social security
system) - ½ paid by the employee; the other ½
by the employer.May be additional employer contribution
within collective bargaining agreement. |
| 7. What are standard
maternity rights? |
General rights not to work if this
would endanger the foetus and not to be dismissed by
reason of redundancy. Paid maternity leave commences
6 weeks prior to the anticipated birth and 8 weeks after. |
| 8. What are parental
leave rights (including paternity leave)? |
Both mother and father are entitled
to parental leave during the first three years of the
child's life - payment from public funding. Leave of
up to 12 months can be deferred if agreed by the employer
- must be taken prior to the child's 8th birthday. |
| 9. When are employees
eligible for redundancy payments? |
By law, the termination of employment
generally does not lead to a statutory redundancy payment.
The law says that either termination is lawful and the
employment ended, or it is void and the employment continues
(see 2 and 4 above).Works councils 'social plans' normally
provide for financial compensation in case of redundancies
- also required in insolvency situations. |
| 10. What are the
statutory redundancy payment limits? |
No statutory limits for the 'social
plan'. In insolvency situations - limited to 2½
gross monthly salary of the employee, in total up to
1/3 of the insolvent company's capital. |
| 11. Can existing
employees be dismissed if you buy a business with employees? |
No, not because of the transfer,
but termination is possible if within the justifiable
reasons stated in (2) above. |
| 12. Any other general
legislation? |
Regulations based on collective bargaining
agreements; discrimination, working hours; fixed term
contracts must be for a valid reason; disability discrimination;
health and safety; social security laws; data protection;
appointment of a qualified company doctor (for the benefit
of employees). |
