FTC regulated: Yes

Remarks

Art. 11 LL provides that an employment contract can be for a fixed term or indefinite.

Valid reasons for FTC use: no limitation

Remarks

The LC does not require any valid reason for the use of FTC.

Maximum number of successive FTCs: no limitation

Maximum cumulative duration of successive FTCs: no limitation

No statutory limitation on the maximum duration of successive FTCs.

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

Remarks

•Art. 13 LL provides that the probation period cannot exceed 3 months. However, after the written evaluation of the employee’s performance notified to the employee, the employer can for valid reasons related to the nature of work, employee’s performance and conduct, decides that an employee retakes the probation for a period not exceeding three (3) months.

Obligation to provide reasons to the employee: Yes

Valid grounds (justified dismissal):

Prohibited grounds: marital status, pregnancy, maternity leave, family responsibilities, colour, religion, political opinion, social origin, nationality/national origin, trade union membership and activities, disability, financial status, ethnic origin

Remarks

The LL does not contain a list of prohibited grounds for dismissal but it contains a general prohibition of discrimination in work matter.

• However, Art. 8 LL prohibits the dismissal of an employee for having reported or testified on sexual harassment committed by his/her supervisor; and provides that if there is tangible evidence that an employee has resigned due to sexual harassment committed against him/her by his/her supervisor, his/her resignation is considered as unfair dismissal.

•Art. 19 LL prohibits the dismissal of an employee as a result of occupational accident unless a recognized doctor declares him/her unfit to resume service in the employment he/she held prior to the accident.

•Art. 30 refers to the damages payable to employees’ representatives, occupational health and safety committee members and trade union representatives who are victims of unfair dismissal as a result of the discharge of their responsibility to represent employees.

•Art. 61 LL prohibits the employer from giving notice of dismissal during maternity leave.

•Art. 9 LL also contains a general prohibition of discrimination in work matters on the basis of ethnic origin, family or ancestry, clan, skin colour or race, sex, region, economic categories, religion or faith, opinion, fortune, cultural difference, language, physical or mental disability or any other form of discrimination.

Workers enjoying special protection: workers' representatives, pregnant women and/or women on maternity leave, confirmed injured workers

- Women on maternity leave:
Prohibition to dismiss a woman during maternity leave (art. 61 LL)

- Workers' representatives:
In case of an unlauful dismissal, workers' delegates and trade union representatives are entitled to the payment of damages up to a maximum of 9 months' pay (instead of 6 months' pay).

- Injured workers declared unfit to work:
Art. 19 LL prohibits the dismissal of an employee as a result of occupational accident, unless declared as unfit to work by a doctor.

Notification to the worker to be dismissed: written

Remarks

Art. 24 LL provides that a notice of termination must be given in writing to the interested concerned party and must specify the reasons for the dismissal. However, Art. 29 provides that the notice is not required if so agreed between the parties.

Notice period:

Remarks

Art. 24LL: The notice period shall be at least:
- 15 days if the worker has worked for less than a year;
- 1 month if the worker has workers for a period of one year or more.

No notice period shall apply to a worker on probation.

Art. 28(2) LL provides that where a fixed term contract is terminated due to gross negligence, the party causing the contract to be terminated shall notify the same to the other party within fourty eight (48) hours.

All:

    All:

    • All: 15 day(s).

    All:

      All:

      • All: 15 day(s).

      All:

        All:

        • All: 1 month(s).

        All:

          All:

          • All: 1 month(s).

          All:

            All:

            • All: 1 month(s).

            All:

              All:

              • All: 1 month(s).

              All:

                All:

                • All: 1 month(s).

                Pay in lieu of notice: Yes

                u2022Art. 25 provides that any contract termination without notice or without having fully observed the notice period results in the party responsible for termination paying the other party the compensation provided for by this Law.

                Notification to the public administration: Yes

                No general obligation to notify the administration of any dismissal. This only applies in case of the dismissal of a worker for economic and technological reasons (art. 34 LL - see below under collective dismissals).

                Notification to workers' representatives: No

                Approval by public administration or judicial bodies: No

                Approval by workers' representatives: No

                Definition of collective dismissal (number of employees concerned) The LL does not define collective dismissal in terms of the number of employees concerned.<br/>Specific notification requirements apply to any <b>individual and collective dismissal</b> on economic grounds or due to internal reorganization, restructuring following economic difficulties or technological transfers with the aim of protecting the competitiveness of the enterprise under Art. 21 LL.<br/>

                Remarks

                Art. 34 LL.

                Notification to the public administration No

                Remarks

                No preliminary consultation required in the LL (art. 34 LL).
                Note: Such requirement was included in the former Labour Code (2001), repealed by the 2009 LC: any employer intending to dismiss workers on economic grounds was required, before implementing his/her decision, to inform the worker's representatives of the causes and criteria, and the date the proposed dismissals and to undertake consultations with them on measures that could be taken to prevent or limit the dismissals.

                Notification to trade union (workers' representatives) Yes

                Remarks

                Art. 21 LL establishes an obligation to inform the competent labour inspector in writing.

                Notification to workers' representatives: Yes

                Remarks

                NEW: Art. 21 of the 2018 LL, which repealed the 2009 LL, provides that an employer may, after informing employeesu2019 representatives in the enterprise, proceed with individual or collective dismissal due to the enterpriseu2019s internal reorganization or restructuring due to economic reason or technological transfer with the aim of preserving the enterpriseu2019s competitiveness

                Approval by trade union (workers' representatives) No

                Approval by workers' representatives No

                Priority rules for collective dismissals (social considerations, age, job tenure) Yes

                Remarks

                Art. 21 LL provides that the employer must place employees on the list of those to be dismissed based on performance, professional qualification, experience in the enterprise and legally recognized dependents of each employee.

                Art. 22 LL does not provide any criteria for re-employment. Instead, it establishes a general right of reinstatement. Any employee dismissed for economic or technical reasons, and whose dismissal does not last more than six (6) months is entitled to be reinstated in employment without competition when he/she meets the profile required for the position to which the employer seeks to fill.

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

                Priority rules for re-employment No

                Remarks

                No statutory obligation to consider alternatives to dismissals in the LC (art. 21 LL).
                Note: Such requirement was included in the former Labour Code (2001): any employer intending to dismiss workers on economic grounds was required, before implementing his/her decision, to inform the worker's representatives of the causes and criteria, and the date the proposed dismissals and to undertake consultations with them on measures that could be taken to prevent or limit the dismissals.

                :

                •Art. 31 of the 2018 LL repealed Art. 35 of the 2009, LL, which provided “dismissal compensation” or severance pay. Art. 31 in the new LL provides that upon termination of an employment contract as a result of economic reasons, technological transfer or sickness, workers are entitled to severance pay ("terminal benefits") provided that they have completed a period of at least twelve (12) consecutive months of work. The new LL, which repealed the 2009 LL introduced new calculations for minimum entitlements as follows:

                Statutory severance pay is payable at the following rates:
                - 2 month' salary for less than 5 years of service;
                - 3 months' salary for 5 to 10 years of service;
                - 4months' salary for 10 to 15 years of service;
                - 5 months' salary for 15 to 20 years of service;
                - 6 months' salary for 20 to 25 years of service; and
                - 7 months' salary for more than 25 years of service.

                : 0 month(s)

                : 0 month(s)

                : 2 month(s)

                : 2 month(s)

                : 2 month(s)

                : 3 month(s)

                : 4 month(s)

                : 6 month(s)

                :

                •The new provisions introduced by the 2018 LL under Art. 31 establish the basis of the payment of “terminal benefits” to employees upon the termination of an employment contract as a result of economic reasons, technological transfer or sickness, granted the employee completed at least 12 consecutive months of work.

                Redundancy payment is payable at the following rates:
                - 2 month' salary for less than 5 years of service;
                - 3 months' salary for 5 to 10 years of service;
                - 4months' salary for 10 to 15 years of service;
                - 5 months' salary for 15 to 20 years of service;
                - 6 months' salary for 20 to 25 years of service; and
                - 7 months' salary for more than 25 years of service.

                : 0 month(s)

                : 0 month(s)

                : 2 month(s)

                : 2 month(s)

                : 2 month(s)

                : 3 month(s)

                : 4 month(s)

                : 6 month(s)

                mine workers: No

                Art. 30 LL.

                Compensation for unfair dismissal - Legal limits (ceiling in months or calculation method): Art. 30 LL establishes the following legal limits for the calculation of compensation for unfair dismissal:<br/><br/>- <u>Workers with up to 10 years of service</u>:<br/>Not less than <b>3 months&apos; salary</b> and up to a maximum of <b>6 months&apos; salary</b>.<br/><br/>- <u>Workers with over 10 years of service</u>:<br/>Not less than <b>3 months&apos; salary</b> and up to a maximum of <b>9 months&apos; salary</b>.<br/><br/>- <u>Trade union and staff representatives (regardless of seniority) </u>: <br/>Not less than <b>3 months&apos; salary</b> and up to a maximum of <b>9 months&apos; salary</b>.

                Art. 30 LL.

                managerial / executive positions: No

                However, Art. 22 LL establishes that any employee dismissed for economic or technical reasons, and whose dismissal does not last more than six (6) months is entitled to be reinstated in employment without competition when he/she meets the profile required for the position to which the employer seeks to fill.

                police: Yes

                Art. 102 LL:
                When an individual labour dispute arises, the concerned party shall request the employees' representatives to settle it amicably.
                - In case the dispute is not settled, it shall be referred to the local Labour Inspector for an out-of-court settlement.
                - When conciliation efforts fail, the dispute may be taken before the competent court.
                - If the above mentioned steps have not been followed, the court may declare the claim inadmissible.

                Existing arbitration: Yes

                Only for collective labour disputes (arts. 144-150 LL)