No specific statutory provision excludes enterprises based on size. The Labour Proclamation 2019 applies to all employment relations.

The Labour Proclamation 2019 does not apply to: contracts for upbringing/care, educational/training contracts (other than apprentices), managerial employees, personal service contracts, members of the Armed Forces, Police Force, judges, and prosecutors.
→ Section 3 (2) LP indicates that: This Proclamation shall not be applicable to the following employment relations:
a) contracts for the purpose of upbringing, treatment, care or rehabilitation;
b) contracts for the purpose of educating or training other than apprentice;
c) where the employee is a managerial employee ;
d) contracts of personal service ;
e) contracts relating to persons such as members of the Armed Force, members of the Police Force, employees of state administration, judges of courts of law, prosecutors and others whose employment relationship is governed by special laws;
f) Contracts relating to a person who performs an act, for consideration, at his own business or professional responsibility.
→ In addition, under Section 3 (3)(b), the Council of Ministers may decide on the inapplicability of the Proclamation to religious or charitable organisations.

Under Section 192 of the Labour Proclamation No. 1156/2019, the previous Labour Proclamations No. 377/2003, Proclamation No. 466/2005, Proclamation No.494/2006 and Proclamation No. 632/2009
are repealed.

The new Proclamation prohibits the use of Fixed-Term Contracts (FTCs) for tasks of a permanent nature. The maximum length of an FTC is set at five years.

A contract of employment is generally considered indefinite unless it is for a definite period or piece of work. FTCs are prohibited for tasks of a permanent nature.
→ Section 4(1) LP indicates that: A contract of employment shall be deemed formed where a natural person agrees directly or indirectly to perform work for and under the authority of an employer for a definite or indefinite period or piece of work in consideration for wages.
→ Section 10 LP provides for "contract of employment for a definite period or piece work", indicating:
1) A contract of employment may be concluded for a definite period or for piecework in the case of:
a) The performance of specified piece work for which the employee is employed;
b) the replacement of a worker who is temporarily absent due to leave or sickness or other causes;
c) The performance of work in the event of abnormal pressure of work;
d) The performance of urgent work to prevent damage or disaster to life or property, to repair defects or breakdowns in works, materials, buildings or plants of an undertaking;
e) An irregular work which relates to the permanent part of the work of an employer but performed on irregular intervals;
f) Seasonal works which relate to the permanent part of the works of an employer, but performed only for a specified period of the year, but which are regularly repeated in the course of the years;
g) An occasional work which does not form part of the permanent activity of the employer, but which is done intermittently;
h) The temporary placement of a worker who has suddenly and permanently vacated from a post having a contract of an indefinite period;
i) The temporary placement of a worker to fill a vacant position in the period between the preparation of an organizational structure and its implementation.
2) A contract of employment under Sub-Sections (1) (h) or (i) of this Section shall not exceed 45 working days and shall be done only once.

No statutory limitation found in the legislation reviewed.

No statutory limitation found in the legislation reviewed.

Under the new Proclamation (2019), the maximum duration of a probationary period was extended from 45 to 60 working days, and it must be in writing. A worker rehired for the same job is exempt from probation.
→ Sections 11 (1 to 3) LP indicate that:
1) A worker may be employed for a probation period for the purpose of testing his suitability for a job position in which he is anticipated to hold.
2) A worker re-employed by the same employer for the same job shall not be subject to probation.
3) When the parties agree to have a probation period, the agreement shall be made in writing; in such a case, the probation period shall not exceed 60 working days beginning from the first date of employment. (...).

Under Sections 11 (4 and 5) LP, during the probationary period, either party could terminate the contract without notice or severance pay.

▷ Discrimination
The Labour Proclamation (2019) defined "discrimination" as any distinction, exclusion or preference made on the basis of nation, race, colour, sex, religion, political opinion, national extraction, social origin, HIV/AIDS status, disability, and others which has the effect of nullifying or impairing equality of opportunity or treatment in employment or occupation.

→ Section 14 (1)(c) and (f) LP provides that: It shall be unlawful for an employer where any of the following acts are committed by the employer or a managerial employee to:
(c) Terminate a contract of employment contrary to the provisions of this Proclamation; (…).
(f) Discriminate between workers on the basis of Nation, sex, religion, political outlook, HIV/AIDS disablement or disablement or any other grounds; (…).
→ Section 26 (2) LP indicates that: The following shall not be deemed to constitute legitimate grounds for the termination of a contract of employment:
a) Membership of the worker in a trade union or his participation in its lawful activities;
b) Seeking or holding office as workers’ representative;
c) Submission of grievance by the worker against the employer or his participation in judicial or other proceedings;
d) The worker’s Nation, Sex, Religion, Political outlook, Marital status, Race, Colour, Family responsibility, Pregnancy, Disability or Social status.

→ Section 87 (6 and 7) LP provides that:
6) An employer shall not terminate the contract of employment of women during her pregnancy and until four months after her confinement.
7) Notwithstanding the provisions of Sub-section (6) of this Section, contract of employment may be terminated for reasons stipulated under Section 27 (b-k) and Section 29 (3), but not related to pregnancy and
delivery.

Termination of an indefinite-term contract requires written notice. The notice must state the reasons for termination and the effective date. If the worker cannot be found or refuses to receive the notice, it can be posted on a notice board for 10 days.
→ Section 34 (1) LP states that:
(1) Notice of termination required under the provisions of this Proclamation shall be in writing. The notice shall specify the reasons
for the termination of the contract and the date on which the termination shall take effect.
(2) Notice of termination by the employer shall be delivered to the worker in person. Where it is not possible to find the worker or he
refuses to receive the notice, it shall be affixed on the notice board in the workplace of the worker for 10 consecutive days.

Under Section 35(1) LP:
The notice period varies according to the length of service or the ground for dismissal, as follows:
- 1 month if the length of service does not exceed 1 year;
- 2 months if the length of service is between 1 and 9 years;
- 3 months if the length of service exceeds 9 years; or
- 2 months when the contract is terminated due to reduction of the workforce.

→ Section 35 LP indicates that: The period of notice given by the employer shall be as follows:
a) One month, in the case of a worker who has completed his probation and has a period of service not exceeding one year;
b) Two months, in the case of a worker who has a period of service above one year and not exceeding nine years;
c) Three months, in the case of a worker who has a period of service of more than nine years;
d) Two months, in the case of a worker who has completed his probation and whose contract of employment is to be terminated due to reduction of workforce.
2) Notwithstanding the provisions of Sub-section (1) of this Section, the period of notice for a contract of employment for a definite period or piece work shall be as agreed upon by the parties to the contract.
3) The period of notice fixed in this Proclamation shall run from the first working day following the date on which notice is duly given.
4) The obligations of the parties arising from the contract of employment shall remain intact during the period of notice.

The Labour Proclamation (2019) does not expressly refer to "collective dismissal". However, reference is made to the "reduction of workforce" as a ground for termination.
→ Section 28 (3) LP indicates that: The following grounds attributable to the organizational or operational requirements of an undertaking shall constitute good causes for the termination of a contract of employment with prior notice:
a) Any event which entails direct and permanent cessation of the worker's activities in part or in whole resulting in the necessity of terminating a contract of employment;
b) Without prejudice to the provisions of Section 18 (5) and (6) demand fall for the products or services of the employer, resulting in the reduction of the volume of the work or profit of the undertaking
and thereby requiring termination of a contract of employment;
c) A decision to alter work methods or introduce new technology with a view to raise productivity resulting in termination of a contract of employment.
→ Section 28(4) provides that: Where the cancellation of a job position affects a workforce in accordance with Section 29 (1) of this Proclamation, the termination shall be undertaken in compliance with the requirements laid down in accordance with Section 29 (3).
→ Section 29 (1) LP states that: In this Proclamation “reduction of workforce” means termination of workforce of an undertaking for any of the reasons provided for by Section 28 (3) of this Proclamation affecting a number of workers representing at least ten percent of the number of workers employed or, in the case where the number of workers employed in an undertaking is between twenty and fifty, termination of at least five employees over a continuous period of not less than ten days.
(2) The expression “number of workers” referred to in Sub-section (1) of this Section means the average number of the workers employed by an employer concerned within the twelve months preceding the date when the employer took measures of reduction of workers.

The employer must consult with the trade union on measures to avert or minimize terminations and mitigate adverse effects.

→ Section 29 (3) LP states that:
Whenever a reduction of workforce takes place in accordance with Section 28 (3) of this Proclamation, the employer shall conduct consultation with a Trade Union or workers’ representatives in order to retain workers having skills and higher rate of productivity in their posts. In case of comparable skill and rate of productivity, the workers to be affected first by the reduction shall be in the following order:
a) Those having the shortest length of service in the Undertaking;
b) Those having fewer dependents;
c)The reduction shall affect first workers except those that are listed under (d) up to (e) of this Sub-section;
d) Those employees with disability;
e) Those who sustained employment injury in the Undertaking;
f) Workers’ representatives; and
g) Expectant mothers and mothers within four months post-natal.

No explicit statutory requirements were identified. However, note must be taken of the provisions of Section 19 LP on "Duty to inform", which indicates that: in order to suspend rights and obligations arising from contract of employment are suspended in accordance with Section 18 (5) or (6) above the employer shall inform the Ministry or the competent authority in writing with in three working days of the occurrence of
the ground for suspension.

→ Section 29 (3) LP states that:
Whenever a reduction of workforce takes place in accordance with Section 28 (3) of this Proclamation, the employer shall conduct consultation with a Trade Union or workers’ representatives in order to retain workers having skills and a higher rate of productivity in their posts. (…).

No explicit statutory requirements were identified.

No explicit statutory requirements were identified.

The 2019 Proclamation outlines a specific order of redundancy reduction.
→ Section 29 (3) LP states that:
Whenever a reduction of workforce takes place in accordance with Section 28 (3) of this Proclamation, the employer shall conduct consultation with a Trade Union or workers’ representatives in order to retain workers having skills and higher rate of productivity in their posts. In case of comparable skill and rate of productivity, the workers to be affected first by the reduction shall be in the following order:
a) Those having the shortest length of service in the Undertaking;
b) Those having fewer dependents;
c)The reduction shall affect first workers except those that are listed under (d) up to (e) of this Sub-section;
d) Those employees with disability;
e) Those who sustained employment injury in the Undertaking;
f) Workers’ representatives; and
g) Expectant mothers and mothers within four months post-natal.

No statutory requirement has been identified regarding priority rules for re-employment following a redundancy.

No explicit statutory requirements were identified. However, under Section 29(3) the employer has an obligation to consult the union on measures to "avert or minimize" terminations, such as finding alternative employment.

Severance pay is due to employees who have completed their probationary period and are not eligible for a pension. The calculation for the first year is 30 days' wages, and for each subsequent year, an additional one-third of a month's wage.

→ Section 39 LP indicates that:
(1) A worker who has completed his probation period and who is not eligible for pension shall have the right to receive severance pay from the employer where:
a) His contract of employment is terminated because of permanent cessation of operation of the Undertaking due to bankruptcy or for any other cause;
b) His contract of employment is terminated by the initiation of the employer in violation of the law;
c) He is reduced as per the conditions prescribed under this Proclamation;
d) Where the worker resigned due to sexual harassment or sexual violence by the employer or managerial employee; or where such act was committed by a co-worker and the incident was reported to the employer but the latter failed to take appropriate measure in due time;
e) He has terminated his contract of employment because of the employer’s maltreatment affecting his human dignity or morale or constituting a criminal offence under the Criminal Code;
f) He has resigned due to failure of the employer to take measures despite being informed of a threat to his safety or health;
g) His contract of employment is terminated because of his partial or total disability as certified by medical board;
h) Where he has given service to the employer for a minimum of five years’ service and his contract of employment is terminated because of sickness or death or his contract of employment is terminated on his own initiative provided that he has no contractual obligation relating to training to render service to the employer;
i) His contract of employment is terminated on his own initiative because of HIV/AIDS.

→ Section 40 provides for the "amount of severance pay"
(1) The severance pay referred to in Section 39 of this Proclamation shall:
(2) Be thirty times the average daily wages of the last week of service for the first year of service; and for the service of less than one year, be calculated in proportion to the period of service.
(3) In the case of a worker who has served for more than a year, payment shall be increased by one-third of the amount referred to in Sub-section (1) of this Section for every additional year of service; provided, however, that the total amount shall not exceed twelve months’ wage of the worker.
(…).

In addition, notes might be taken of provisions of Section 41 LP which provides for "compensation for termination of contract of employment without notice":
(1) A worker who terminates his contract of employment in accordance with Section 32(1) of this Proclamation shall be entitled, in addition to the severance pay referred to in Section 40 of this Proclamation, to a payment of compensation which shall be thirty times his daily wages of the last week of service. This provision shall apply to a worker covered by the relevant pension law.
(2) However, where the termination is based on Section 32 (1) (b) the worker shall, in addition to severance pay, be entitled to compensation of his daily wage multiplied by ninety. This provision shall also apply to a worker covered by the relevant pension law.

→ Section 32 on "Termination of contract of employment without prior notice" indicates that:
(1) The following shall be good causes to terminate a contract of employment without prior notice:
a) Where the employer has committed any act contrary to human dignity and morals or other acts punishable under the Criminal Law against the worker;
b) Where the workers has been a victim of sexual harassment or sexual violence by the employer or a managerial employee;
c) In the case of imminent danger threatening the worker’s safety or health, where the employer, having been made aware of such danger, failed to act within the time limit in accordance with the early warning given by the competent authority or appropriate trade union or the worker himself to avert the danger;
d) Where the employer has repeatedly failed to fulfil his basic obligations towards the worker as prescribed under this Proclamation, collective agreement, work rules or other relevant laws.

Redundancy pay is a fundamental entitlement for employees terminated due to workforce reduction. The formula is the same as the general severance pay calculation plus specific additional payment of 60 days' wages (2 months) in case of a collective dismissal on economic grounds ("reduction of workers") or closing down of the undertaking.
→ Section 40(4) provides that: Where a contract of employment is terminated in accordance with Section 24(4) and 29 of this Proclamation, the worker shall be paid, in addition to payments under Sub-section (1) and (2) of this Section, an amount equal to the worker’s average daily wage of the last week of service multiplied by 60.

1) Individual dismissal (including for economic reasons): severance pay
2) Collective dismissal for economic reasons: redundancy payment