CDD regulados: Si

Remarks

The ICEO does expressly regulate the use of fixed-term contract.
However, Standing Order No. 1 of ICEO distinguishes between the following categories of workers (in addition to "probationers" as already mentioned above):
- "Permanent employees" are defined as workers who are engaged in in work of a permanent nature likely to last more than nine months and has satisfactorily completed a probationary period of three months.
- "Temporary workers" are those who have been engaged for work of an essentially temporary nature that is likely to be finished within a period not exceeding nine months.
- "Badli" describes a worker who is appointed in the place of a permanent worker or probationer who is temporarily absent. A badli who has been employed for a continuous period of three months or for one hundred and eighty-three days during any period of twelve consecutive months is to be considered as a permanent worker.
- "Contract workers" (added by the Finance Act 2006),are those who work on contract basis for a specific period of remuneration to be calculated on piece rate basis.

Note that according to SO 12(2) ICEO, no notice period shall be observed by either party in the event of unilateral termination of employment of a probationer, a badli, or a temporary worker whether monthly-rated, weekly-rated, daily-rated or piece-rated.

Razones de utilización legítima de CDD: razones materiales y objetivas

Remarks

See the definitions of a permanent and temporary workers (SO No. 1 ICEO)
"Permanent employees" are defined as workers who are engaged in work likely to last more than nine months and who have satisfactorily completed a probationary period.
- "Temporary workers" are those who have been engaged for work of an essentially temporary nature that is likely to be finished within a period not exceeding nine months.

Número máximo de CDD consecutivos: sin restricción

Remarks

The ICEO does not expressly refers to the renewals of FTCs.
It only provides that temporary workers cannot be hired for more than 9 months (see S0 1(e) ICEO).

Duración máxima acumulativa de CDD consecutivos: sin limitación

Remarks

▶ Industrial and Commercial Employment (Standing Orders) Ordinance, 1968 [ICEO]
→ The Ordinance does not prescribe a maximum cumulative duration for temporary or contract employment. However, a worker engaged continuously for more than nine months on work of a permanent nature may be considered for classification as a permanent workman under the Schedule (S.O. 1, Clause (b).

Duración maxima del periodo de prueba (en meses): 3 mes(es)

Remarks

Standing Order (SO) 1(c) of the ICEO defines a "permanent workman as a workman who has been engaged on work of permanent nature likely to last more than nine months and has satisfactorily completed a probationary period of three months" and a "probationer as a workman who is provisionally employed to fill a permanent vacancy in a post and has not completed three months service therein".
Note that according to SO 12(2) ICEO, advance notice is not required for terminating employment during the probationary period.

Obligación de motivar el despido: Si

Motivos autorizados (despido justificado):

Remarks

Motivos prohibidos: afiliación sindical y actividades sindicales

Remarks

Sec. 17(d) IRA : prohibition to dismiss, discharge, remove from employment, transfer a workman or threaten to do one of the previous act by reason of the worker's trade union mebership or activities.

Trabajadores que gozan de una protección particular (fuero):

Forma de la notificación del despido al trabajador: escrita

Remarks

SO 12(3) ICEO: "The services of a workman shall not be terminated, nor shall a workman be removed, retrenched, discharged or dismissed from service, except by an order in writing which, shall explicitly state the reason for the action taken".

Plazo de preaviso:

Remarks

▶ Industrial and Commercial Employment (Standing Orders) Ordinance, 1968 [ICEO]
→ Standing Order 12 requires one month’s notice (or pay in lieu) for the termination of a permanent workman for any reason other than misconduct.
→ S.O. 12(1) provides that: For terminating employment of a permanent workman, for any reason other than misconduct, one month’s notice shall be given either by the employer or the workman. One month’s wages, calculated on the basis of average wages earned by the workman during the last three months, shall be paid in lieu of notice.
▷ Exception
→ According to S.O. 12(2), no notice period applies in the case of termination of a probationer, badli, or temporary workman (whether monthly-rated, weekly-rated, daily-rated, or piece-rated).

Indemnización sustitutiva de preaviso: Si

Remarks

SO 12(1) ICEO.

Notificación a la administración: No

Notificación a los representantes de los trabajadores: No

Aprobación de la administración publica o de organismos judiciales: No

Acuerdo de los representantes de los trabajadores: No

Definición de despido colectivo (número de empleados afectados) No legal definition of collective dismissals is provided.
However, the ICEO provides that any employer contemplating to terminate employment of more than 50% of the workforce (or close down the whole establishment) must obtain a prior permission by the Labour Court except in the event of fire, catastrophe, stoppage of power supply, epidemics or civil commotion.

Remarks

Standing Order 11-A of the ICEO.

Notificación a la administración No

Notificación a los sindicatos (representantes de los trabajadores) No

Remarks

However, according SO 11-A ICEO, any employer contemplating to terminate employment of more than 50% of the workforce (or close down the whole establishment) must obtain a prior permission by the Labour Court except in the event of fire, catastrophe, stoppage of power supply, epidemics or civil commotion..

Notificación a los representantes de los trabajadores: No

Acuerdo de los sindicatos (representantes de los trabajadores) No

Remarks

However, pursuant to SO 11-A ICEA,any employer contemplating to terminate employment of more than 50% of the workforce (or close down the whole establishment) must obtain a prior permission by the Labour Court except in the event of fire, catastrophe, stoppage of power supply, epidemics or civil commotion..

Acuerdo de los representantes de los trabajadores No

Reglas de prioridad para los despidos colectivos (consideraciones sociales, edad, años de servicio) Yes

Remarks

SO 13 ICEO: "Procedure for retrenchment" provides that the employer must retrench the worker who is the last person employed in that category.

Obligación del empleador de considerar solucionés alternativas al despido (transferencia, formación...) Yes

Remarks

SO 14 ICEO: Within a period of one year from the date of the retrenchment, the employer he shall give an opportunity to the retrenched workmen belonging to the category concerned, by sending a notice by registered post to their last known addresses to offer themselves for re-employment, and they shall have preference over other persons each having priority according to the length of his service with the employer.

Reglas de prioridad para la re-contratación Yes

Severance pay:

Remarks

Under SO 12(6) ICEO, workers whose employment has been terminated for any reason other than misconduct are entitled to severance pay or a "gratuity" equivalent to 30 days' wages for every completed year of service or any part thereof in excess of six months
However, if the employer has established a provident fund to which the worker is a contributor and the contribution of the employer is not less than the contribution made by the worker, no such severance pay shall be payable for the period during which such provident fund has been in existence.

tenure ≥ 6 meses: 30 día(s).

tenure ≥ 9 meses: 30 día(s).

tenure ≥ 1 año: 30 día(s).

tenure ≥ 2 años: 60 día(s).

tenure ≥ 4 años: 120 día(s).

tenure ≥ 5 años: 150 día(s).

tenure ≥ 10 años: 300 día(s).

tenure ≥ 20 años: 600 día(s).

Redundancy payment:

Remarks

No specific provision on redundancy pay. Severance pay covers dismissals for economic reasons.

tenure ≥ 6 meses: 30 día(s).

tenure ≥ 9 meses: 30 día(s).

tenure ≥ 1 año: 30 día(s).

tenure ≥ 2 años: 60 día(s).

tenure ≥ 4 años: 120 día(s).

tenure ≥ 5 años: 150 día(s).

tenure ≥ 10 años: 300 día(s).

tenure ≥ 20 años: 600 día(s).

Notes

Note that the provisions related to the severance pay do not apply to enterprises employing not more than 49 persons during the last twelve months (sec. 1(4) ICEO).

mineros: Si

directores/ gerentes: Si