FTC regulated: Yes

Valid reasons for FTC use: objective and material reasons

Remarks

Art. 37 LL: labour relations shall be entered into for a period that is set in advance in the following cases: seasonal jobs, project-based work, increase volume of work that will last for a definite term, etc.

Maximum number of successive FTCs: no limitation

Remarks

Art. 37 LL: no maximum number of successive FTC, but maximum duration of labour relations for a definite term of 24 months.

Maximum cumulative duration of successive FTCs: 24month(s)

Remarks

Art. 37 LL. The interruption between two FTCs should be longer than 30 days

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

Remarks

Art. 36 LL.

Obligation to provide reasons to the employee: Yes

Remarks

Art. 180 LL.

Valid grounds (justified dismissal): worker's conduct, worker's capacity, economic reasons

Remarks

Art. 179 refers to "a just cause relating to his/her working ability, behavior and employer's need" and provides an exhaustive list of 9 instances when termination of employment by the employer is authorized.

Prohibited grounds: marital status, pregnancy, maternity leave, 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, disabilities, financial status, performing military or civil service, language, parental leave, state of health

Remarks

Art. 18 LL: general provision on non discrimination.
Art. 183 LL: list of prohibited grounds for dismissal.

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

Remarks

* Workers' representatives: art. 188 LL: no dismissal during the term of office.
* No dismissal during pregnancy, maternity leave, absence for childcare or special care of the child: art. 187 LL.

Notification to the worker to be dismissed: written

Remarks

Art. 185 LL.

Notice period:

Remarks

Art. 189 LL foresees a notice period only for those employees dismissed for lack of performance, i.e. qualifications and skills.
Notice period is minimum 1 month and maximum 3 months depending on the "duration of the insurance period" (period for which the employee has paid contributions for the retirement insurance), as follows:
- 1 month for up to 10 years of insurance period;
- 2 months for 10-20 years of insurance period;
- 3 months over 20 years of insurance period.

Pay in lieu of notice: Yes

Remarks

Art. 189 LL

Notification to the public administration: No

Notification to workers' representatives: No

Remarks

Exception: Trade union must be notified in case of dismissal of trade union member: art. 181 LL.

Approval by public administration or judicial bodies: No

Approval by workers' representatives: No

Definition of collective dismissal (number of employees concerned): At least:
1) 10 employees out of a total of 20 to 99 staff employed for an indefinite term, over a period of 30 days;
2) 10% of employees, out of a total of 100 to 299 staff employed for an indefinite term, over a period of 30 days;
3) 30 employees out of at least 300 staff employed for an indefinite term, over a period of 30 days;
4) 20 employees notwithstanding of the number of employees, over a period of 90 days.

Remarks

Art. 153 LL.

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

Remarks

Art. 154 and 156 LL.

Notification to the public administration: Yes

Remarks

Art. 155 and 156 LL.

Notification to workers' representatives: Yes

Remarks

Art. 156 LL.

Approval by public administration or judicial bodies: No

Approval by workers' representatives: No

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

Remarks

No criteria listed.
Art. 155 LL only refers to criteria as one of the elements to be communicated to the workers' representatives for consultation.

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

Remarks

Art. 155 and 156 LL.

Priority rules for re-employment: Yes

Remarks

Art. 182 LL: preferential right to re-employment for 6 months.

Severance pay:

Remarks

The provision on severance pay (art. 190) has been deleted from the 2005 Labour Law.

tenure ≥ 6 months: 0 month(s)

tenure ≥ 9 months: 0 month(s)

tenure ≥ 1 year: 0 month(s)

tenure ≥ 4 years: 0 month(s)

tenure ≥ 5 years: 0 month(s)

tenure ≥ 10 years: 0 month(s)

tenure ≥ 20 years: 0 month(s)

Redundancy payment:

Remarks

Art. 158 LL established a minimum statutory payment to be paid prior to terminating an employment contract on the grounds that "due to technological, economic or organizational changes a particular job becomes redundant or volume of work be reduced".
The amount of redundancy payment is to be set out in the contract but shall not be less than the sum of 1/3 of the monthly salary for each full year of service for the first ten years and 1/4 of the salary for each full year of service after 10 years of employment.

tenure ≥ 6 months: 0 month(s)

tenure ≥ 9 months: 0 month(s)

tenure ≥ 1 year: 0.33 month(s)

tenure ≥ 2 years: 0.66 month(s)

tenure ≥ 4 years: 1.33 month(s)

tenure ≥ 5 years: 1.66 month(s)

tenure ≥ 10 years: 3.3 month(s)

tenure ≥ 20 years: 5.83 month(s)

Notes / Remarks

Notes

1) Dismissal based on the worker's conduct or capacity: no statutory severance pay.
(The provision on severance pay for capacity-based dismissal (art. 190) has been deleted from the 2005 Labour Law.)
2) Economic dismissal (individual and collective): redundancy payment.

Compensation for unfair dismissal - free determination by court: No

Remarks

Art. 191 LL.

Compensation for unfair dismissal - Legal limits (ceiling in months or calculation method): Damages in lieu of reinstatement:
- max. 18 months' salary when the employee does not wish to be reinstated or
- max. 36 months upon request or the employer or when case the existing circumstances suggest that the continuation of labor relations is not possible.

Remarks

Art. 191, ParagraphParagraph 4-5 LL.

Reinstatement available: Yes

Remarks

Art. 191 ParagraphParagraph 1-2 LL.
Note that, when reinstatement is ordered, the employer shall also pay compensation for the lost salary and other emoluments which the employee is legally entitled to.

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

Remarks

Art. 21 of the Law on Organization of Courts (2002): the municipal court has jurisdiction to hear termination of employment disputes at first instance.

Existing arbitration: Yes

Remarks

Termination of employment disputes can be settled through arbitration: Art. 194 LL and art. 30 Act on Peaceful settlement of Labour Disputes.

Length of procedure: 6month(s) (statutory)

Remarks

Art. 195 LL.
* The legal proceedings may be initiated 30 days after the decision has been served to the employee.
* The dispute before the court shall be terminated 6 months after initiation of the proceedings at the latest.
* In case of amicable settlement through arbitration, the decision shall be passed within 10 days :art. 194 LL.