FTC regulated: Yes

Remarks

Art. 46 LRA.

Valid reasons for FTC use: no limitation

Remarks

The LRA does not set out any limitation as to the reasons for concluding FTCs. Art. 46(2) states that a fixed term contract concluded for the replacement of a temporary absent employee can be concluded until his/her return.
Note, that prior to the reform in 2008 [Official Gazette of the Republic of Macedonia no. 106 of 27.08.2008], the LRA limited the use of FTC to the performance of work temporary in nature.

Maximum number of successive FTCs: no limitation

Remarks

No limitation provided that the maximum cumulative duration of successive FTC concluded for the performance of the same job shall not exceed 5 years (art. 46(1) LRA).

Maximum cumulative duration of successive FTCs: 60months

Remarks

The Labour Relations Act states that the fixed term contract may be concluded with interruptions or without interruption for performing the same job for a maximum period of 5 years. (Art. 46(1) LRA).
Note that prior to the 2008 reform [Official Gazette of the Republic of Macedonia no. 106 of 27.08.2008], the law provided that a FTC could be concluded for carrying out work which by its nature was of limited duration, with or without interruption, for a maximum period of 4 years.

Maximum probationary (trial) period (in months): 6 months

Remarks

Art. 60 LRA: the probationary period can not be longer than 6 months. It can only be extended in the cases of justified absence from work (eg. illness, etc).

Obligation to provide reasons to the employee: Yes

Remarks

Art. 72 LRA states that the employer is obliged to indicate the ground for termination, as stipulated by law or collective agreement and to substantiate the reason justifying termination. In addition, where the employer intends to dismiss a worker on the ground of misconduct, he/she must previously warn in writing the worker on the possibility of such dismissal in the event of further violations. (Art 73 LRA). Article 74(2) LRA provides for the obligation on the part of the employee to explain the reason for termination in the notice of dismissal as well as to provide indications on the legal remedies available and his/her rights to unemployment insurance. See also art. 85 LRA: the grounds for termination must be indicated in the dismissal decision.

Valid grounds (justified dismissal): any fair reasons

Remarks

According to art. 71(2) LRA, the employer may only terminate the employment contract if there is a justified reason based on the worker's conduct ("personal reason of the employee") or operational needs of the employer (business reasons).
Art. 76 LRA establishes 3 categories of "justified reasons for dismissal" as follows:
- "personal reason", defined as the employee's inability to carry out employment obligations due to his/her conduct, lack of knowledge or capabilities;
- "fault reason", defined as the employee's violation of contractual or other obligations arising from the employment relationship;
- "business reason", defined as economic, organizational, structural, or similar reasons.
See also: art. 79 and 80 LRA on "personal reasons" (respectively on failure to carry out employment obligations and unsatisfactory performance).
In addition, art. 81 LRA provides for a non-exhaustive list of acts constituting a violation of work regulations and discipline justifying dismissal with notice whereas art. 82 LRA provides for a non-exhaustive list of acts justifying dismissal without notice.

Prohibited grounds: marital status, pregnancy, family responsibilities, filing a complaint against the employer, temporary work injury or illness, race, colour, sex, sexual orientation, religion, political opinion, social origin, nationality/national origin, age, trade union membership and activities, disability, performing military or civil service, property, state of health, lawfully taking leave, ethnic origin

Remarks

- Non-discrimination:
Art. 6 LRA prohibits discrimination against applicants or employees on the basis of race; skin colour; gender; age; health condition or disability; religious, political, or other conviction; trade union membership; national and social origin; marital status; sexual orientation; or other personal circumstances.
Art. 71(4) LRA provides that any termination based on those above listed grounds shall be null and void.

- Prohibited grounds of dismissal:
Art 77 LRA provides a list of "unfounded grounds for termination", as follows:
1) membership of a trade union or worker participation in union activities in accordance with the law and collective agreements;
2) filing a complaint or participating in proceedings against the employer for violation of contractual and other obligations arising from the labour relation before an arbitration, judicial or administrative authorities;
3) approved absence due to illness or injury, pregnancy, birth and parenthood and care of a family member;
4) Using approved absence of work and annual leave;
5) performing military service or military exercises and
6) Other cases of suspension of the employment contract defined by the Law.

Workers enjoying special protection: workers' representatives, pregnant women and/or women on maternity leave, workers with family responsibilities

Remarks

Art. 101 LRA states that the employer shall not dismiss a woman during her pregnancy or while she is on a maternity leave, or during a leave of absence for child care.
This prohibition also applies to fathers on parental or adoption leave.

In addition, art. 200 LRA provides for a protection against dismissal for trade union representatives. A trade union representative can only be dismissed with the prior approval of the trade union. In case the trade union refuses to give approval, such approval can be given by the court. This protection applies during the whole period of the mandate and and at least two years after its expiration.

Notification to the worker to be dismissed: written

Remarks

Art. 74(1) LRA. See also art. 85 LRA.

Notice period:

Remarks

Art. 88 (2) LRA stipulates that in the case of an individual dismissal or in the case of a dismissal of a small number of workers, the statutory minimum notice period is one month. The individual employment contract or a collective agreement may stipulate a longer period of notice. However, it cannot exceed 3 months. If the dismissals affect more than 150 employees or 5% of total number of workers, the notice period is two months. (Art. 88.2 LRA)
The LRA provides a list of justified grounds for termination without notice and these include: unjustified absence from work for three consecutive days or 5 days within one year, misuse of sick leave; failure to comply with the workplace regulations on health, safety and environmental protection, use of alcohol and drugs, robbery at the workplace or negligence causing damages to the employer, disclosure of business, official or state secrets (art. 82 LRA).

tenure ≥ 6 months:

  • All: 1 months.

tenure ≥ 9 months:

  • All: 1 months.

tenure ≥ 2 years:

  • All: 1 months.

tenure ≥ 4 years:

  • All: 1 months.

tenure ≥ 5 years:

  • All: 1 months.

tenure ≥ 10 years:

  • All: 1 months.

tenure ≥ 20 years:

  • All: 1 months.

Pay in lieu of notice: Yes

Remarks

The employer and the employee may agree on the payment of a lump sum instead of observing the notice period.

Notification to the public administration: No

Notification to workers' representatives: No

Remarks

However, such notification is required in order to dismiss a trade union representative (art. 200(3) LRA).

Approval by public administration or judicial bodies: No

Approval by workers' representatives: No

Remarks

No general approval required. However, in order to dismiss a trade union representative, the employer shall first obtain the prior approval of the trade union. In case the trade union does not approve the dismissal, such approval can be obtained through a court decision (art. 200 LRA).

Definition of collective dismissal (number of employees concerned): Dismissals for business reasons affecting a large number of employee, or at least 20 workers within the 90-day period regardless of the total number of employees are considered to be collective dismissals.

Remarks

Art. 95 LRA as last amended in September 2010.
Prior to the 2010 amendment [Official Gazette of the Republic of Macedonia no. 124 of 20.09.2010], the law referred to "termination of a larger number of employees for business reasons" but did not specify any numerical threshold.

Prior consultations with trade unions (workers' representatives): Yes

Remarks

Art. 95 LRA: when the employer intends to carry out a collective dismissal, he/she shall notify the workers' representatives and undertake consultations with them at least 30 days before starting the dismissal with a view to reaching an agreement. These consultations shall, at least, cover ways and means of avoiding collective redundancies or reducing the number of workers affected, and of mitigating the consequences by recourse to accompanying social measures aimed at aid for redeploying or retraining workers made redundant. In order to allow the workers' representatives to submit constructive proposals, the employer shall provide all relevant information such as: 1) the reasons for the intended redundancies, 2) the number and categories of affected workers, 3) the total number and categories of workers employed and 4) the period during which the planned dismissals should occur.

Notification to the public administration: Yes

Remarks

Art. 95(6) and (8) LRA: Notification to the employment mediation agency after the consultations.

Notification to workers' representatives: Yes

Remarks

Art. 95 LRA: when the employer intends to carry out a collective dismissal, he/she shall notify the worker's representatives and undertake consultations with them at least 30 days before starting the dismissal with a view to reaching an agreement. These consultations shall, at least, cover ways and means of avoiding collective redundancies or reducing the number of workers affected, and of mitigating the consequences by recourse to accompanying social measures aimed at aid for redeploying or retraining workers made redundant. In order to allow the worker's representatives to submit constructive proposals, the employer shall provide all relevant information such as: 1) the reasons for the intended redundancies, 2) the number and categories of affected workers, 3) the total number and categories of workers employed and 4) the period during which the planned dismissals should occur.

Approval by public administration or judicial bodies: No

Approval by workers' representatives: No

Priority rules for collective dismissals (social considerations, age, job tenure): No

Employer's obligation to consider alternatives to dismissal (transfers, retraining...): Yes

Remarks

Art. 95(3) LRA: Consultations with the workers' representatives shall, at least, cover ways and means of avoiding collective redundancies or reducing the number of workers affected, and of mitigating the consequences by recourse to accompanying social measures aimed at aid for redeploying or retraining workers made redundant.

Priority rules for re-employment: No

Remarks

Priority for rehiring has been removed from the LRA in 2008 [Official Gazette of the Republic of Macedonia no. 106 of 27.08.2008]. Art. 98 LRA which has been abrogated prohibited the employer from employing another employee for the same work within one year from the date of collective dismissals and provided for a priority of reemployment for the redundant workers during that period.

Severance pay:

Remarks

There is no general right to severance pay upon dismissal except in the event of an economic dismissal (see below).

tenure ≥ 6 months: 0 months

tenure ≥ 9 months: 0 months

tenure ≥ 1 year: 0 months

tenure ≥ 4 years: 0 months

tenure ≥ 5 years: 0 months

tenure ≥ 10 years: 0 months

tenure ≥ 20 years: 0 months

Redundancy payment:

Remarks

See art. 97 LRA: in the case of termination of the employment contract for business reasons the employer is obliged to pay the employee redundancy payments, as follows:
1) for up to five years of employment: the amount of one net salary;
2) for five to ten years of employment: the amount of two net salaries;
3) for ten to 15 years of employment: three net salaries;
4) 15 to 20 years of employment: four net salaries;
5) from 20 to 25 years of employment: five net salaries;
6) over 25 years of employment: six net salaries.

The basis for calculation of severance pay is the employees' average net salary in the past six months prior to the termination of employment, but it may not be lower than 50 per cent of the average salary paid in Macedonia within the last month before the dismissal.

tenure ≥ 6 months: 1 months

tenure ≥ 9 months: 1 months

tenure ≥ 1 year: 1 months

tenure ≥ 2 years: 1 months

tenure ≥ 4 years: 1 months

tenure ≥ 5 years: 2 months

tenure ≥ 10 years: 3 months

tenure ≥ 20 years: 5 months

Compensation for unfair dismissal - free determination by court: Yes

Remarks

Art. 102.5 LRA, with the 2012 amendment has been renumbered as Art. 102.4 LRA and modified to state that when the court establishes that the dismissal was unlawful and it is unacceptable for the employee to be reinstated, the court, at the employee's request, shall specify the date of termination of employment and will oblige the employer to pay wages in accordance with paragraph 2 of the same article. Art. 102.2 LRA, also brought with the 2012 amendment, states that in addition to the return to work, the employer shall pay the employee the gross salary which the employee would have taken if he/she was at work in accordance with the law, the collective agreement and employment contract, reduced by the amount of income that the employee has achieved on the basis of work after the termination of employment.
According to the previous regulation before the 2012 amendment, when the court would establish that the dismissal was unlawful and if the employee would find unacceptable the reinstatement, the court, at the employee's request, had to fix the date of termination of employment and award compensation depending on the employee's length of service, age, social status and family responsibilities.(previously art. 102(5)LRA).

Reinstatement available: Yes

Remarks

Art. 101(1) LRA: if the Court rules that the employment contract was unlawfully terminated, the employee must be reinstated if he/she so requests.

Preliminary mandatory conciliation: No

Remarks

No preliminary mandatory conciliation.
However, the LRA provides that in the event of dismissal with notice, the employee is authorised to file a complaint to the management body or to the employer within 8 days from receipt of the dismissal decision. The employer must reply to the complaint within 8 days, and during that period the execution of the dismissal decision is suspended. If the employee is not satisfied with the response he/she may initiate a dispute before the competent court (art. 93 LRA).
In case of termination of employment by the employer without a notice period (summary dismissal), the employee is entitled to complain to the management body or to the employer within 8 days from the receipt of the decision on the dismissal. The employer or the management body must give the response to the complain in the period of 8 days. In case the employee is not satisfied with the response, he/she has a right to initiate proceedings before the competent court within 15 days. In this case, while the procedure is ongoing, the execution of the dismissal decision is not suspended (Art. 91 LRA).

Competent court(s) / tribunal(s): ordinary courts

Remarks

Art. 91 and 93 LRA ("competent court").

Existing arbitration: Yes

Remarks

Art. 29 of the Law on peaceful resolution of labour disputes stipulates that individual labour disputes concerning termination of employment can be settled through arbitration. The arbitration award concerning an individual labour dispute shall be issued within 30 days form the opening of the hearings, which shall start within 3 days of the submission of the case (arts. 33 and 35 of the above-mentioned law).