→ There is no general right to severance pay upon termination of employment except when such termination is based on the following reasons:
- Cessation of activities for more than 6 months (§ 23(1)(6)),
- Dissolution of the employer's business or downsizing (§ 23(1)(7)),
- Criminal conviction which hinders the continuation of the work (§ 23(1)(8)),
- Employee's refusal to be re-assigned to his/her previous position (§ 23(1)(10)).
Thus, employees who have been dismissed for other reasons (i.e., conduct or capacity-based reasons) are not entitled to severance pay (§ 23(1)(2, 3, 4, 5, 9 and 11).
→ Under section 25(3) LL, the organization has to pay the amount of the last salary of the grade as an assistance proportionate to the period of service to the workers whose contracts have been terminated on the basis of the provisions mentioned in parts (6, 7, 8, and 10) of paragraph (1) of Section 23 of this law as the following:
- If the length of service is 1 year: one month's salary;
- From 1 up to 5 years of service: 2 months' salary;
- From 5 up to 10 years of service: 4 months' salary;
- More than 10 years of service: 6 months' salary.

▷ Severance pay is payable to a worker who has been continuously employed for at least one year in the event of a:
- Termination based on physical or mental incapacity or continued ill-health
→ Section 22 on discharge from service indicates that :
(1) A worker may be discharged from service for reasons of physical or mental incapacity or continued ill-health certified by a registered medical practitioner.
(2) If a worker who has completed not less than one year of continuous service is so discharged, he shall be paid by the employer compensation at the rate of thirty days' wages for every completed year of service, or gratuity, if any, whichever is higher.
- Termination with notice without any reason
(§ 26(4) LA).
→ Section 26(4) LA on employment by employers otherwise than by dismissal indicates that: Where the employment of a permanent worker is terminated under this section, he shall be paid by the employer, compensation at the rate of thirty days' wages for every completed year of service or gratuity, if any, whichever is higher, in addition to any other benefit to which he may be entitled under this Act.
▷ Note: Under section 2(10), 'gratuity' means wages payable on termination of employment of a worker, which shall be equivalent to not less than thirty days' wages for every completed year of service or for any part thereof in excess of six months;
It shall be in addition to any payment of compensation or payment in lieu of notice due to the termination of services of a worker on different grounds.
In both cases, severance pay amounts to 30 days' wages for each completed year of service or for any part thereof in excess of six months.
▶ Exception: In case a worker is dismissed for misconduct other than theft, misappropriation, fraud, embezzlement, breaking in the establishment, „riot“ or “disorderliness “, they are entitled to a severance pay of at least 15 days' wages for each completed year of service (§ 23(3) LA).

Art. 13 of the Labour Code: When an employer or worker is dismissed for a reason other than his/her own will, the employer must compensate him/her for the service, with the amount of one month salary for every year of work. If the time of service does not amount to one year, compensation will be proportional to the number of worked months, excluding the three first months which are considered probationary period. If the employee has worked for more than 8 years, he/she will perceive the compensation even if he/she voluntarily leaves the job.

No severance pay if the worker was dismissed with just cause.

* White-Collar workers:
Sec. 2a ESEA:
In case of dismissal of a salaried employee having worked continuously in the same enterprise for 12 or 17 years, the employer shall pay a sum corresponding to, respectively, 1 or 3 months' salary.
* Blue-collar workers: no statutory severance pay. Severance pay is regulated by collective agreements.

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

▷ Under GLL 2023, severance payments are referred to as "indemnities or "Indemnizações" and redundancy payments are referred to as "compensation" or "Compensações".
▻ (Indemnities) refer to payments made to compensate for harm resulting from unlawful or unfair dismissals, typically involving employer fault or legal violations.

▷ Indemnisation or Severance pay
Indemnisation is required in case of the employer's abusive exercise of disciplinary power (§ 98 of GLL 2023), non-reinstatement of the dismissed employee (§ 309 of GLL 2023), and unlawful dismissal (§§ 300 and 310 of GLL 2023).
→ Section 309 on "indemnisation for non-reinstatement" indicates that: the Indemnisation for non-reinstatement of the dismissed employee or for his/her non-intention to be reinstated is equivalent to 50% of the value of the base salary practised on the date of dismissal multiplied by the number of years of service of the employee.
→ Section 310 "Indemnity for individual dismissal" stipulates that:
1. The Indemnity due to the employee in the event of a court decision on the unlawfulness of the individual dismissal with the invocation of just disciplinary cause, in the absence of reinstatement, and in the event of indirect dismissal recognised respectively in paragraph 3 of section 300 and paragraph 5 of section 303, is determined by multiplying the value of the base salary on the date of dismissal by the number of years of seniority of the employee on the same date.
2. The Indemnity calculated under the terms of the previous numbers is also due in the situations referred to in paragraphs 3 of section 19 and 2 of section 67.
3. The indemnity referred to in this section always has a minimum value equivalent to three months' base salary.

▷ Note: Under Section 18(4) of GLL 2023, during the trial period, either party may terminate the employment contract without obligation to provide prior notice, indemnity, or justification.

▶ LRA
No statutory severance pay under LRA.
▶Collective framework agreement of the private sector of 30 September 2006 (CFA)
However, under Section 63 of the CFA, an employee is entitled to severance pay :
1) if he/she is dismissed for reasons not connected with the commission of a serious misconduct; and
2) if he/she has at least 2 years of service with the same employer.
The amount of severance pay cannot be less than 15 days' wages per year of service, calculated on the basis of the last salary.

▶ No provision in the Labour Code. However, under the Collective Agreement, a worker is entitled to severance pay provided he has been employed continuously for at least one year and has not committed any serious misconduct.
▶ Inter-occupational Collective Agreement:
→ Section 35 of the LC provides that: In the event of dismissal by the employer, the worker, having completed in the company a period of continuous service at least equal to the reference period entitling them to leave, as set by the regulations in force, has entitlement to severance pay separate from the notice period.
Employees are eligible for severance pay after reaching the required length of service following several periods of employment with the same company, provided their previous departures were due to downsizing or job elimination.
In this case, the amount of severance pay is determined after deducting any sums that may have been paid for this purpose during previous dismissals. This severance pay is represented, for each year of service with the company, by a specific percentage of the average total monthly salary for the six months of employment preceding the date of dismissal. Total salary includes all benefits that constitute compensation for work, excluding reimbursements of expenses. The percentage is set at:
- 25% for the first five years;
- 30% for the period from the 6th to the 10th year inclusive;
- 40% for the period extending beyond the 10th year.
▻ In the calculation based on the above, fractions of a year must be taken into account.
▻ Severance pay is not due:
- In the event of termination of the employment contract resulting from serious misconduct by the employee;
- When the employee permanently ceases their service to begin receiving their statutory retirement benefits.
However, in this case, they will be paid a special allowance known as a "retirement allowance."
This allowance is calculated on the same basis and according to the same rules as severance pay.
The rate and calculation methods for severance pay and retirement allowance for expatriate employees are determined by the individual employment contract.

▶ Labour Code
→ Section 37(1) LC indicates that: save in the case of serious misconduct, where a contract of employment of unspecified duration is terminated by the employer, the worker with no less than two successive years of seniority in the enterprise shall be entitled to severance pay distinct from pay in-lieu-of notice, which shall be determined giving regard to the worker's seniority.
▶ Regulatory text
▷ See Sections 1 and 2 of the ARRÊTÉ N° 016/MTPS/SG/CJ of 26 May 1993 (Fixant les modalités d'attribution et de calcul de l’indemnité de licenciement):
- A worker is entitled to severance pay provided he has been employed for at least two years, and he has not committed any serious misconduct.
- Severance pay corresponds to a percentage of the monthly overall wages per year of service and is set according to the length of service as follows:
▻ 20% per year during the first 5 years.
▻ 25% per year from the 6th to the 10th year.
▻ 30% per year from the 11th to the 15th year.
▻ 35% per year from the 16th to the 20th year.
▻ 40 % per year after the 21st year.

DECREE N° 96-201 OF MARCH 7, 1996, CONCERNING SEVERANCE PAY

→ Section 1 of Decree N° 96-201 indicates that: If an employer terminates a work contract, an employee who has completed at least one year of effective service and has not committed a serious offence is entitled to severance pay. This pay is separate from any notice period.

→ Section 3 of Decree N° 96-201 provides that: Severance pay is calculated as a percentage of the employee's total monthly salary over the 12 months before the termination date, for each year they worked at the company. The total salary includes all payments received for work, but excludes reimbursements for expenses.
The percentage is determined by the employee's seniority:
▻ 30% for up to and including the fifth year.
▻ 35% for the period from the sixth to the tenth year, inclusive.
▻ 40% for the period after the tenth year.
Fractions of a year are also included in the calculation and are rounded down to the nearest month.

▷ Termination of employment contract for economic reasons
→ Section 241 LL 2025 stipulates that: In all cases (of termination of employment contract for economic reasons), the worker is entitled to a severance payment equal to one month's wage for each of the first five years of service, and one and a half months' wage for each year beyond that.
▷ Fixed Term contracts:
→ Section 154 LL 2025 indicates that: If the termination (of a FTC) is initiated by the employer, the employee shall be entitled to a severance payment equal to one month’s wage for each year of service.
▷ Retirement
→ Section 172 LL 2025 provides that: The worker is entitled to a severance payment for their work after the age of sixty, calculated at half a month's wage for each of the first five years of service, and one month’s wage for each subsequent year.
▻ This applies if the worker does not have rights to this period under the provisions of old-age, disability, and death insurance as specified in the Social Insurance and Pensions Law.
▻ This severance payment is also due for service years before the worker reaches the age of eighteen for apprentices and workers upon reaching this age.
▻ The severance payment is calculated based on the worker’s last wage or the apprentice’s wage, as applicable.
▻ The severance payment is payable upon the worker's death in accordance with the provisions of the Social Insurance and Pensions Law.

Severance pay is not statutorily required for individual dismissals for non-economic reasons, but it may be ordered by the "National Labour Commission" as a remedy for unfair termination.
→ Section 30 (1) Where the employment of a worker is terminated, the worker is entitled to annual leave in proportion to the period of service in the calendar year.
(2) The worker shall not be deprived of any other grants or awards to which the worker is entitled, including payment in lieu of notice of termination.
(3) Subsections (1) and (2) do not apply to cases where the employer has the right to dismiss a worker without notice.
→ Section 64 indicates that: Remedies for unfair termination
64. (1) A worker who claims that the employment of the worker has been unfairly terminated by the worker’s employer may present a complaint to the Commission.
(2) If, upon investigation of the complaint, the Commission finds that the termination of the employment is unfair, it may
(a) order the employer to reinstate the worker from the date of the
termination of employment;
(b) order the employer to re-employ the worker, either in the work for which the worker was employed before the termination or in other reasonably suitable work on the same terms and conditions enjoyed by the worker before the termination; or
(c) order the employer to pay compensation to the worker.

▷ Overall, there is no universal statutory severance pay for any terminations under the current 2009 Labour Code.
▷ The Labour Code refers to both damages (dommages-intérêts) for unfair dismissal and severance pay (indemnité de licenciement).
→ Section 156 LC clearly states that: "These damages (dommages-intérêts) are not to be confused with either compensation for failure to observe the notice period or severance pay."
▷ However, no clear statutory definition, conditions, or amounts for severance pay are provided in the Labour Code. Severance pay (and any redundancy pay) is not mandatory and is typically regulated by collective agreements, individual contracts, or sectoral regulations.
▷ The following Sections of LC contains references related to compensation, service allowance, damages (dommages- intérêts) and severance pay:
→ Section 142 (3) LC refers to severance pay, providing that: In the event that one or more workers refuse in writing to accept the measures referred to in the preceding paragraph, they shall be dismissed with payment of notice and severance pay, if they meet the conditions for entitlement.
→ Section 153 (paragraph 1) LC indicates that: Any termination of the employment contract entitles the employee to the settlement of their legal rights. Wages and compensation must be paid upon cessation of service or within a maximum period of five (5) days. (...).
→ Section 154 LC states that: A service allowance is paid to any employee eligible to claim their retirement rights and/or to the beneficiaries of a deceased employee.
The method of calculating this allowance is identical to that of severance pay provided for by the regulations in force.
→ Section 155 stipulates that: Unjustified termination of the employment contract by one of the parties entitles the other party to damages (dommages- intérêts).
→ Section 156 indicates that: The amount of damages (dommages- intérêts) is determined taking into account all factors that may justify the existence and determine the extent of the harm caused, including:
- when the responsibility lies with the employee, the harm suffered by the employer due to the non-performance of the employment contract;
- when the responsibility lies with the employer, customary practices, the nature of the services performed, the employee's seniority, services, age, and any acquired rights related to the employee's family situation.
These damages are not to be confused with either compensation for failure to observe the notice period or severance pay.

No severance pay upon dismissal for reasons other than redundancy (sec. C40 LC)

Art. 129 LC

Article 245 of LCL provides that in cases of dismissal ordered by the employer without just cause, with or without prior notice, the employer must pay the worker compensation equivalent to one (1) month's salary for each year of service or fraction greater than three (3) months, taking as a base the best monthly, normal and habitual remuneration accrued during the last year or during the time of rendering of services if this were less. Said base may not exceed the equivalent of three (3) times the monthly amount of the sum resulting from the average of all the remunerations provided for in the collective labor agreement applicable to the worker, at the time of dismissal, for the legal or conventional day, excluding seniority.

Amendments were made on this issue in 2017, as follows:

Art. 70 LC lays out grounds for the employer to terminate a labour contract:
a. Liquidation of the enterprise;
b. Staff cuts;
c. Employee’s incompetence (dismissal performed upon the approval of the attestation commission);
d. Employee’s gross violation of labor duties, neglect for labor functions or obligations stated in the employment contract. ;
e. Employee’s failure to justify work potential during the trial period;
f. Employee in a state-financed enterprise reaching the working age limit

Art. 77(3) LC dictates that workers dismissed for the reasons of an enterprise liquidation (Art. 70 a) or staff cuts (Art. 70 b) should be reimbursed:
1 year of experience – an average monthly wage
1- 5 years of experience - at least 1.4 of the average monthly wage
5-10 years of experience – at least 1.7 of the average monthly wage
More than 10 years of experience – at least 2 of the average monthly wage

According to Art. 77 (7) LC, the dismissal on the grounds of changing labour conditions (Art. 68 c), call for a military or alternative service (Art. 74 a) and employee’s inability to perform labour functions due to incapability to work continuously for more than six months, the employer pays at least two months of the average monthly wage.

Upon employers initiative (in accordance with the 12th Chapter of the LC dictating the procedure on the termination of labour contracts), the employee is not entitled to a severance payment if dismissed under Article 70 (c,d,e,f). The workers, however, have a right to appeal the decision to the Court.

No statutory severance pay except:
- upon termination of employment due to an illness for employee of at least 5 years of service: 2 months' gross remuneration (art. 222 (2) LC);
- upon termination after the employee has acquired the right to a pension : 2 months' pay or 6 months' pay for a job tenure of 10 years (art. 222 (3) LC).

No statutory severance pay. The pay referred to under Sec. 67(1) LC [referring back to Sec. 52 LC] is addressed under redundancy payment below.

- Upon dismissal without cause (by way of desahucio), the workers are entitled to a statutory severance pay -Indemnización legal por años de servicio - (unless an individual or collective agreement is made with more favourable terms) equivalent to 30 days of the last monthly remuneration earned, for each year of service worked and fraction greater than six months. The upper limit is 330 days for workers with a contract in force for one year or more (sec. 163, LC). This applies to persons occupying positions of trust and persons representing the employer having general administrative competence. However domestic workers are entitled to a different indemnity.
- The same amount is payable to a worker whose contract is terminated on the basis of the requirements of the undertaking (see below redundancy payment)
- Upon termination of employment, regardless of the reason for termination, domestic workers are entitled to an indemnity to be funded by the employer's contributions to an insured pension fund equivalent to 4.11% of the monthly remuneration. The employer's contributions shall be paid for a period of 11 years which shall run from obligation to pay such contribution shall be for a period run from 1 January 1991 or the start date of employment, whichever is later (art. 163 LC).
- There is a possibility for an agreement on a substitute termination indemnity (see below - "Notes / Remarks")

Note that dismissals based on the worker's conduct (art. 160 LC) do not give right to severance pay.
Similarly severance pay is not payable in the event of termination upon expiry of the agreed term of the contract or completion of the service for which the contract was made, termination due to force majeure or unforeseen event, resignation, mutual agreement, resignation or the death of the worker.

Art. L 1234-9 LC : right to severance pay after a tenure of at least 8 months (instead of 1 year as was previously the rule) without interruption, except in case of serious misconduct.
The calculation modalities are determined by art. R 1234-2 LC:
The statutory minimum is 1/4 (instead of 1/5) of monthly wages per year of service.
For employees with more than 10 years of service, 1/4 for the first 10 years and 1/3 for the following years. (the amount was modified only for the first 10 years of service).
Ex:
Tenure of 1 year: 1/4 x 1 = 0.25 month
Tenure of 20 years: (1/4 x 10) + (1/3 x 10) = 5.83 months

Article 38 (1) LC: When terminating a labour agreement on any of the grounds under Article 37(1)(a, f, i, n) of this Law, employers shall be obliged to notify employees about it in writing at least 30 calendar days in advance. Besides, employees shall be granted a severance pay in the amount of at least one month’s salary within 30 calendar days after terminating the labour agreement. (...)
Alternatively, Article 38 (2) LC provides that when terminating a labour agreement on any of the grounds under Article 37(1)(a, f, i, n) of this Law, employers may notify employees about it in writing at least three calendar days in advance. In this case, employees shall be granted a severance pay in the amount of at least two months’ salary within 30 calendar days after terminating the labour agreement.

No general statutory severance pay or redundancy payment scheme. However, upon termination of the contract by either parties, a worker is at least 50 years old and has 20 or more or more years of service with the same employer is entitled to a long service payment ("indemnité à raison de longs rapports de travail")(art. 339c CO).
As a minimum, this payment should amount to 2 months wages and shall not exceed 8 months: art. 339c (1) &(2) CO. However, it may be reduced in part or cancelled if the employee terminates his contract without proper justification, if the employer summarily dismiss him for valid reasons or of if the payment of this amount would result in difficulties for the employer (art. 339c (3) CO).

According to articles 185 and 188 of Labour Code, severance pay shall be paid considering lenght of service:
1) Up to three years of service, with the value corresponding to three months of remuneration; and,
(2) Over three years, with the value equivalent to one month of remuneration for each year of service, without in any case that value exceeding twenty-five months of remuneration.

Bonus for “desahucio” is due in the amounts to 25% of last monthly salary per year of service (which would be paid in case of desahucio according to article 184 of Labour Code).

If dismissal is for an alleged just cause but the prior approval (“visto bueno”) of Labour Inspector is denied, then an additional amount of one monthly salary deposited by the employer is paid to the employee, in addition to severance pay and bonus for desahucio. This situation only applies if the employer requests the suspension of the employee during the prior approval (“visto bueno”) procedure.

According to art. 132 FLLR, a worker who has completed one year or more of continuous service is entitled to severance pay (also referred to as "end of service gratuity") at the end of his employment. Severance pay is calculated as follows:
- 21 days' wages for each year of the first five years of service; and
- 30 days' wages for each additional year, provided that the total amount does not exceed 2 years' wages.
A worker shall be entitled to severance pay for any fraction of a year during which he actually served, provided that he has completed one year of continuous service (art. 133 FLLR)

There is no entitlement to severance pay if the employee is terminated for one of the reasons set out in Article 120 of the Labour Law (those entailing summary dismissal) (art. 139 FLLR).

See remarks under severance pay.
→ Section 25(3) LL provides for termination payment upon termination for economic reasons, namely
- Cessation of activities for more than 6 months,
- Dissolution of the employer's business or downsizing.
The amounts to be paid vary according to the length of service, as follows:
- If the length of service is 1 year: one month's salary [not clear whether this applies to 6 and 9 months, this needs to be checked upon proper translation of the original text];
- From 1 up to 5 years of service: 2 months' salary;
- From 5 up to 10 years of service: 4 months' salary;
- More than 10 years of service: 6 months' salary

→ Section 119 (1) FWA provides that "an employee is to be paid redundancy pay by the employer if the employee's employment is terminated:
(a) at the employer's initiative because the employer no longer requires the job done by the employee to be done by anyone, except where this is due to the ordinary and customary turnover of labour; or
(b) because of the insolvency or bankruptcy of the employer."
▷ The amount of the redundancy pay varies according to the employee's period of continuous service as follows:
- if the employee has at least 1 year but less than 2 years of continuous service: redundancy pay is 4 weeks;
- if the employee has at least 2 years but less than 3 years of continuous service: redundancy pay is 6 weeks;
- if the employee has at least 3 years but less than 4 years of continuous service: redundancy pay is 7 weeks;
- if the employee has at least 4 years but less than 5 years of continuous service: redundancy pay is 8 weeks;
- if the employee has at least 5 years but less than 6 years of continuous service: redundancy pay is 10 weeks;
- if the employee has at least 6 years but less than 7 years of continuous service: redundancy pay is 11 weeks;
-if the employee has at least 7 years but less than 8 years of continuous service: redundancy pay is 13 weeks;
- if the employee has at least 8 years but less than 9 years of continuous service: redundancy pay is 14 weeks;
- if the employee has at least 9 years but less than 10 years of continuous service: redundancy pay is 16 weeks;
- if the employee has at least 10 years of continuous service: redundancy pay is 12 weeks.
‣ Therefore, the maximum statutory redundancy pay is 16 weeks' pay for someone with between 9 and 10 years' service with one employer.
‣ Employees with less than 12 months of continuous service are not entitled to redundancy pay (§ 121(1)a) FWA).
‣ The obligation to pay redundancy does not apply to small business employers (employers with less than 15 employees).
→ In addition, section 123 FWA excludes from redundancy pay the following employees:
- Exclusion from the division 11 FWA (both notice of termination and redundancy pay):
"(1)(a) an employee employed for a specified period of time, for a specified task, or for the duration of a specified season;
(b) an employee whose employment is terminated because of serious misconduct;
(c) a casual employee;
(d) an employee (other than an apprentice) to whom a training arrangement applies and whose employment is for a specified period of time or is, for any reason, limited to the duration of the training arrangement;
(e) an employee prescribed by the regulations as an employee to whom this Division does not apply.
(2) Paragraph (1)(a) does not prevent this Division from applying to an employee if a substantial reason for employing the employee as described in that paragraph was to avoid the application of this Division"
-"Other employees not covered by redundancy pay provisions
(3)(a) an employee who is an apprentice; or
(b) an employee to whom an industry-specific redundancy scheme in a modern award applies; or
(c) an employee to whom a redundancy scheme in an enterprise agreement applies if:
(i) the scheme is an industry-specific redundancy scheme that is incorporated by reference (and as in force from time to time) into the enterprise agreement from a modern award that is in operation; and
(ii) the employee is covered by the industry-specific redundancy scheme in the modern award; or
(d) an employee prescribed by the regulations as an employee to whom that Subdivision does not apply"

Sec. 20(2): In the event of retrenchment, any worker with at least one year of continuous service with an employer shall be entitlement to a payment of at least 30 days' wages for each completed year of service (or for any part thereof in excess of six months: see sec. 2(x) LA on the definition of gratuity)

Sec. 1a PADA: an employee dismissed on the basis of urgent operational requirements is entitled to severance pay, the amount of which equal 0.5 months' pay for each year of employment, provided he has not challenged the dismissal within 3 weeks following the notice of termination.

(According to sec. 1a (2) PADA, for the purpose of calculating the length of service in relation to severance pay, a period of more than 6 months should be counted as 1 year.

Article 14 of the Labour Code provides that in case of cease of activities due to bankruptcy or verified losses ("peridas comprobadas"), the compensation shallbe half of the the usual amount, and workers credits shall be given priority.

* White-collar workers:
Economic dismissals are covered by severance pay. There is no specific statutory redundancy payment for collective dismissal.
Sec. 2a ESEA: In case of dismissal of a salaried employee having worked continuously in the same enterprise for 12 or 17 years, the employer shall pay a sum corresponding to, respectively, 1 or 3 months' salary.

* Blue-collar workers: no statutory redundancy payment.

▷ Under the GLL 2023, severance and redundancy payments are referred to as "compensation" or "Compensações" and indemnities or "Indemnizações".
▻ Compensações (Compensations) refers to payments to employees for termination due to objective reasons or employer-related circumstances, not involving fault or illegality.
▷ Compensation
Redundancy payment, referred to as "compensation," occurs in the event of contract termination, insolvency, or the employer's legal dissolution (§ 307 of GLL 2023), constructive dismissal (§ 308), dismissal for objective reasons (§ 289 of GLL 2023), and dismissal of a worker in a collective dismissal process (§ 295 of GLL 2023).
→ Section 307 on "compensation in the event of insolvency or termination of the employer" indicates that:
The compensation recognised in section 278, due in the event of termination of the contract, insolvency, or termination of the employer's legal personality, is determined by multiplying 50% of the value of the base salary by the number of years of service on the same date.
→ Section 308 on "Compensation for termination of the contract for reasons relating to the employer" indicates that: The compensation due to employees under section 289 and 295, in the case of individual or collective dismissal for objective just cause, respectively, and under item b of section 271, in the case of termination after suspension of the contract for objective reasons, corresponds to the base salary in effect on the date of termination, multiplied by the number of years of seniority, with a limit of five, with the amount thus obtained being increased by 50% of the base salary multiplied by the number of years of seniority that exceeds that limit.

▶ Legislative Decree No. 94-09 of 26 May 1994, concerning the preservation of employment and the protection of employees likely to involuntarily lose their jobs.
→ Section 22 of the Decree No. 94-09 provides that in the case of a dismissal resulting from a workforce reduction, the employer has to pay to any worker who is entitled to the social security regime of unemployment, an amount equivalent to 3 months' wages.

Same as severance pay: dismissals for economic reasons are covered under Section 35 of the Inter-occupational Collective Agreement.

▷ Note: No provisions for specific redundancy payment; severance pay covers dismissals for economic reasons. (§§ Sections 1 and 2 of the ARRÊTÉ N° 016/MTPS/SG/CJ of 26 May 1993 (Fixant les modalités d'attribution et de calcul de l’indemnité de licenciement)).

The Labour Code does not explicitly outline a statutory redundancy payment formula beyond compensation for the lack of notice period. Compensation for economic dismissals primarily covers the notice period (including remuneration and benefits), unless the dismissal is deemed unfair, in which case broader compensation may apply.

No specific redundancy payment: severance pay covers dismissals for economic reasons.
However, an end-of-contract indemnity is paid to a worker on a fixed-term contract that is not renewed. The rate is 3% of the total gross remuneration earned throughout the contract's duration.

→ Section 15.8 LC indicates that: When a fixed-term contract ends without being converted into a permanent one, the employee is entitled to an end-of-contract indemnity as a salary supplement.
▻ Indemnity Calculation and Payment
The rate for this indemnity is 3% of the total gross salary the employee received during the contract's duration. This payment is made to the employee at the same time as their final paycheck.
▻ Exceptions
This end-of-contract indemnity is not owed in the following situations:
• The employee refuses a new permanent contract for the same or a similar job with at least an equivalent salary.
• The contract is terminated early by the employee.
• The contract is terminated early due to a serious offence committed by the employee.

The amount of redundancy payment is not fixed by law but is a matter of negotiation between the employer and the employee or union. Disputes can be referred to the National Labour Commission.
→ Section 65(4) LA indicates that: the amount of redundancy pay and the terms and conditions of payment are matters which are subject to negotiation between the employer or a representative of the employer on the one hand and the worker or the trade union concerned on the other.
→ Under Section 65(5), any dispute that concerns the redundancy pay and the terms and conditions of payment may be referred to the Commission by the aggrieved party for settlement, and the decision of the Commission shall subject to any other law be final.

See sec. C40 and 41 LC: provided that an employee has served at least one year with his or her present and predecessor employers, he or she will be entitled redundancy pay at a rate of at least one day's pay, at the employee's latest basic wage, for each month or major fraction thereof of his term of employment with his employer and any predecessor employer.

Art. 129 LC

Art. 247 LCL: Where a dismissal is ordered on account of a reduction of work that is duly proved to be beyond the employer's control or for force majeure, the worker is entitled to receive compensation equal to half that provided for in cases of dismissal without good cause (= 1/2 compensation for unfair dismissal).

Same as severance pay (no specific provision for economic dismissal)

Art. 77(3) dictates that workers dismissed for the reasons of an enterprise liquidation (Art. 70 a) or staff cut (Art 70 b) should be reimbursed:
1 year of experience – an average monthly wage
1- 5 years of experience - at least 1.4 of the average monthly wage
5-10 years of experience – at least 1.7 of the average monthly wage
More than 10 years of experience – at least 2 of the average monthly wage

According to Art. 77 (7) LC, the dismissal on the grounds of changing labour conditions (Art. 68 c), call for a military or alternative service (Art. 74 a) and employee’s inability to perform labour functions due to incapability to work continuously for more than six months, the employer pays at least two months of the average monthly wage.

Upon employers initiative (in accordance with the 12th Chapter of the LC dictating the procedure on the termination of labour contracts), the employee is not entitled to a severance payment if dismissed under Article 70 (c,d,e,f). The workers, however, have a right to appeal the decision to the Court.

Not more than 1 month's salary following any individual or collective dismissal on economic grounds. [Art. 222 (1) LC]

Redundancy payment is provided under the conditions laid down in Sec. 67(1) LC referring to Sec. 52 LC.
Before the amendment which came into force in 2012, Sec. 67 LC referred to "an amount of at least three times the average earnings" for economic dismissal. New amendments effective as of 2012 state that upon terminating employment that lasted less than one year, employees will be entitled to severance equal to a minimum of their average monthly earnings. If employment lasts at least one year but less than two, employees will be entitled to severance equal to a minimum of double their average earnings. employment lasts at least two years, employees will be entitled to severance corresponding to a minimum of triple their average earnings.

Same as severance pay.
*Art. 163 LC foresees that, in case of dismissal for the economic reasons listed in art. 161 LC, dismissed workers who have been working for at least 1 year are entitled to severance pay. This indemnity (unless an individual or collective agreement is made with more favorable terms) shall amount to 30 days of the last monthly remuneration earned, for each year of service worked and fraction of a year greater than six months. The upper limit is 330 days for workers with a contract in force for one year or more (see art. 163 LC).
*See also substitute indemnity below under "Notes / Remarks"

Provided he has completed 104 weeks of continuous service, an employee who is dismissed on economic grounds is entitled to redundancy payments from the Redundancy Fund which is wholly financed by contributions from employers under the social insurance scheme. According to sec. 18 and the first schedule of the TEA, redundancy payment is calculated as follows:
* 2 weeks' wages for each year of service up to four year;
* 2,5 weeks' wages for each year of service from 5 to 10;
* 3 weeks' wages for each year of service from 11 to 15;
* 3,5 weeks' wages for each year of service from 16 to 20;
* 4 weeks' wages for each year of service beyond 20 years.
Redundancy payment is limited to 75,5 weeks' wages.

No specific redundancy payment. Severance pay covers economic (individual and collective) dismissals (Art. L 1234-9 LC).

No specific redundancy payment - See severance pay.

No specific redundancy payment. An employee whose employment is terminated by way of redundancy will be entitled to severance pay as provided in sec. 235 CLC.

There is no specific provisions concerning redundancies, but in case of dismissals generated by closure of enterprises, the employer must pay severance compensation for unjustified dismissal (despido intempestivo) and the indemnity correspondent to desahucio (articles 185, 188 and 193 of Labour Code).

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