Definition of collective dismissal (number of employees concerned):
There is no statutory definition of collective dismissal.
Art. 24 LC regulates dismissals for economic reasons, which may be "collective or individual".
However, the consultation and notification requirements applicable to collective dismissals for economic reasons do not apply to individual economic dismissals (see Art. 27 LC).
Prior consultations with trade unions (workers' representatives):
Art. 25 LC: prior consultation with the Works council (which is compulsory in undertakings with at least 50 permanent employees) and/or with the worker's representatives.
Notification to the public administration:
Art. 25 LC: mandatory notification to the Labour Inspector.
Notification to workers' representatives:
Approval by public administration or judicial bodies:
No approval required. The Labour Inspector only issues a recommendation on the dismissal within 15 days of the date of notification (Art. 25 LC).
However, if the parties do not find an agreement on the list of employees to be dismissed, the Labour Inspector will issue a decision in that respect in accordance with the selection criteria listed in Art. 26 LC.
Approval by workers' representatives:
Priority rules for collective dismissals (social considerations, age, job tenure):
Art. 25 LC: the list of redundant employees shall be established by the employer in consultation with the worker's representatives. The priority rules to be observed in selecting the employees must be in accordance with the agreed social plan, if any. In the absence of such agreed dismissal order, it shall take into account:
- the length of service in the undertaking;
- professional values, technical skills and professionalism;
- family responsibilities.
Employer's obligation to consider alternatives to dismissal (transfers, retraining...):
Priority rules for re-employment:
No preferential right to re-employment in the LC.
Priority for re-employment is only listed in Art. 25 as one of the elements to be considered in the framework of the consultation process.