FTC regulated: Yes

Valid reasons for FTC use: no limitation

Remarks

Sec. 55 LL

Maximum number of successive FTCs: 2

Remarks

Art. 55(2) LL.

Maximum cumulative duration of successive FTCs: 36months

Remarks

Art. 55 (2) LL: If the original contract term and the renewal period amount to three years and the two parties continues to implement it, the contract shall become an indefinite term contract.
See art. 37 LL on foreign workers.

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

Remarks

Art. 53 LC: probationary period is extended to up to 180 days with the 2015 reform.

Obligation to provide reasons to the employee: Yes

Remarks

Sec. 75 LL: the contract can be terminated by either party for a valid reason to be specified in a written notice.

Valid grounds (justified dismissal): any fair reasons

Remarks

Sec. 75 LL: "a contract of an indefinite term can be terminated by either party for a valid reason to be specified in a written notice".
Sec. 80 LL: provides for a list of behaviours entailing dismissal without notice (dismissal for serious misconduct).

Prohibited grounds: maternity leave

Remarks

No statutory provision on non-discrimination in the LL.
Maternity leave: sec. 155 LL
Note: dismissal during pregnancy is not prohibited. What is only prohibited is dismissal during illness resulting from pregnancy provided the absence of the worker does not exceed 180 days.

Workers enjoying special protection: pregnant women and/or women on maternity leave

Remarks

Limited protection. No prohibition of dismissal of pregnant women as such: the prohibition only covers maternity leave (sec. 155 LL: 10 weeks period) and period of illness resulting from pregnancy or delivery provided it does not exceed 180 days (sec. 156 LL).

Notification to the worker to be dismissed: written

Remarks

Art. 75 LL.

Notice period:

Remarks

Art 75 LL: the notice period shall be at least 60 days for monthly paid workers and 30 days for the others.

tenure ≥ 6 months:

  • monthly paid workers: 1 months.
  • non-monthly paid workers: 0.5 months.

tenure ≥ 9 months:

  • monthly paid workers: 1 months.
  • non-monthly paid workers: 0.5 months.

tenure ≥ 2 years:

  • monthly paid workers: 1 months.
  • non-monthly paid workers: 0.5 months.

tenure ≥ 4 years:

  • monthly paid workers: 1 months.
  • non-monthly paid workers: 0.5 months.

tenure ≥ 5 years:

  • monthly paid workers: 1 months.
  • non-monthly paid workers: 0.5 months.

tenure ≥ 10 years:

  • monthly paid workers: 1 months.
  • non-monthly paid workers: 0.5 months.

tenure ≥ 20 years:

  • monthly paid workers: 1 months.
  • non-monthly paid workers: 0.5 months.

Pay in lieu of notice: Yes

Remarks

Art. 76 LL.

Notification to the public administration: No

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): No legal definition.

Prior consultations with trade unions (workers' representatives): No

Notification to the public administration: No

Notification to workers' representatives: No

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...): No

Priority rules for re-employment: No

Notes / Remarks

Notes

No legal provisions on collective dismissals.

Severance pay:

Remarks

The Labour Law provides in art. 84 for an end-of-service award that shall be due at the end of the work relation, no matter the reason of termination of employment (retirement, end of the fixed-term contract, "force majeure", resignation). Such award shall amount to half-month wages for each of the first five years of service and one-month wages for the following years. It is however reduced in case of resignation.

tenure ≥ 6 months: 0.3 months

tenure ≥ 9 months: 0.3 months

tenure ≥ 1 year: 0.5 months

tenure ≥ 4 years: 2 months

tenure ≥ 5 years: 2.5 months

tenure ≥ 10 years: 7.5 months

tenure ≥ 20 years: 17.5 months

Redundancy payment:

Remarks

No specific redundancy payment. However, the Labour Law provides in art. 84 for an end-of-service award that shall be due at the end of the work relation, no matter the reason of termination of employment (retirement, end of the fixed-term contract, "force majeure", resignation). Such award shall amount to half-month wages for each of the first five years of service and one-month wages for the following years. It is however reduced in case of resignation.

tenure ≥ 6 months: 0.3 months

tenure ≥ 9 months: 0.3 months

tenure ≥ 1 year: 0.5 months

tenure ≥ 2 years: 1 months

tenure ≥ 4 years: 2 months

tenure ≥ 5 years: 2.5 months

tenure ≥ 10 years: 7.5 months

tenure ≥ 20 years: 17.5 months

Compensation for unfair dismissal - free determination by court: Yes

Remarks

Art. 77 LL: "If the contract is terminated for an invalid reason, the party who is harmed by such termination shall be entitled to indemnity to be assessed by the Commission for the Settlement of Labor Disputes, taking into account the termination circumstances and actual and potential material and moral damages sustained".

Reinstatement available: Yes

Remarks

Art. 78 LL.

Preliminary mandatory conciliation: Yes

Remarks

Prior to referrimg any dispute to the Commission (acting as a Labour Court), it shall be brought to the labour office which shall attempt to settle it amicably (art 220 LL).
No information available as to any mandatory conciliation before the Commission for the Settlement of Labour Disputes.

Competent court(s) / tribunal(s): labour court

Remarks

Art. 77 LL & art. 210 to 228 LL on labour disputes settlement.
The competent body is the Commission for the Settlement of Labour Disputes which is part of the judiciary.
The Commission can only be seized after the amicable settlement before the labor office has failed.

Existing arbitration: Yes

Remarks

Art. 224 LL: The parties can agree to settle the dispute through arbitration.