Termination of an Employment Relationship
Showing 1-10 of 39 legal articles
Termination Procedure
The employer must execute a termination based on grounds related to the employee’s person within a reasonable time period after being informed of the existence of the termination ground. What is considered as reasonable time varies based on the circumstances.Warning
An employee who has neglected his/her duties based on the employment relationship or who has committed a breach thereof, should not be given notice before been given a warning and there through an opportunity to amend their conduct. However, if the conduct has been serious or crude, there is no obligation to give a warning. In these situations the employer can cancel the employment relationship to end immediately.Termination of Fixed Term Employment Agreements
A fixed term employment agreement terminates without notice when the specified term ends or when the agreed upon job is completed. No notice is required. If the termination date is known only to the employer, the employer must notify the employee about the date without delay after receiving the information.Unprofessionalism
It is possible to terminate an employment relationship, if the employee does not have the adequate professional skills to perform his/her duties. The performance is considered inadequate even if the employee tries his/her best. If the employee has misled the employer in connection with the job interview and has given a false image of his/her professional skills, the employer may have the right to terminate employee’s employment agreement on the basis of the employee’s unprofessionalism. In addition, the employer can have grounds for termination, if the professional skills of the employee have deteriorated over time to a point where he/she no longer can perform his/her duties.Termination of Employment by Agreement
A unilateral termination of an employment requires a statutory termination ground. However, if the parties agree on a termination of the employment relationship, the grounds for the termination will not be a matter potentially considered by the courts. Agreements regarding terminations are commonly concluded at the employer’s initiative in situation when the employer has to consider whether to terminate or cancel the employment agreement. The advantage of a termination by an agreements is that all issues related to the termination are solved at once, without the need to wait for a potential court decision. Employment agreements may always be terminated by agreement between the employer and employee provided both parties agree on the terms. The agreement may be concluded either orally or in writing. Although both types of agreements are equally valid, a written agreement is always recommended taking into account the possible interpretation of disagreements.Unauthorized Absences
The employer may terminate an employment agreement if the employee is absent from work without permission. The employer must give the employee a warning for his/her absence and give him/her the opportunity to amend his/her conduct. The regular termination notice periods must be complied with by the employer.Termination of an Employment Relationship due to a Business Transfer
The Employments Contracts Act provides regulation regarding the transfer of a business. The transfer of a business refers to transfer of an enterprise, business or an operative part thereof to another employer (company) where the business or the part thereof remains the same or similar after the transfer. It is then considered to be a transfer of a business.Trade Secrets
During the employment, an employee may neither utilize nor to a third party reveal trade secrets of the employer. If the employee has obtained such information unlawfully, e.g. by illegally gathering information from the employer’s secret files, the prohibition continues after termination of the employment relationship. Information regarding the employer’s finances, business relationships and data and software used in the company that has true significance to the employer’s business, are among others considered business and trade secrets.Termination of an Employment Relationship at the Employee’s Initiative
An employee may terminate his/her employment without any particular reason. He/she is not obliged to notify the employer of the reasons for terminating the employment. The notice period commences when the employer receives the employee’s notice of termination.Termination Grounds Related to the Employee's Person
The employer may terminate an employment agreement on grounds related to the employee’s person only when proper and weighty reason(s) for termination exist. When assessing if proper and weighty reasons exist, the number of employees in service of the employer as well as the employer’s and employee’s circumstances as a whole are taken into account. E.g. the following can give reason to terminate an employment agreement on grounds related to the employee’s person:
Showing 1-10 of 39 legal articles
Termination Procedure
The employer must execute a termination based on grounds related to the employee’s person within a reasonable time period after being informed of the existence of the termination ground. What is considered as reasonable time varies based on the circumstances.Warning
An employee who has neglected his/her duties based on the employment relationship or who has committed a breach thereof, should not be given notice before been given a warning and there through an opportunity to amend their conduct. However, if the conduct has been serious or crude, there is no obligation to give a warning. In these situations the employer can cancel the employment relationship to end immediately.Termination of Fixed Term Employment Agreements
A fixed term employment agreement terminates without notice when the specified term ends or when the agreed upon job is completed. No notice is required. If the termination date is known only to the employer, the employer must notify the employee about the date without delay after receiving the information.Unprofessionalism
It is possible to terminate an employment relationship, if the employee does not have the adequate professional skills to perform his/her duties. The performance is considered inadequate even if the employee tries his/her best. If the employee has misled the employer in connection with the job interview and has given a false image of his/her professional skills, the employer may have the right to terminate employee’s employment agreement on the basis of the employee’s unprofessionalism. In addition, the employer can have grounds for termination, if the professional skills of the employee have deteriorated over time to a point where he/she no longer can perform his/her duties.Termination of Employment by Agreement
A unilateral termination of an employment requires a statutory termination ground. However, if the parties agree on a termination of the employment relationship, the grounds for the termination will not be a matter potentially considered by the courts. Agreements regarding terminations are commonly concluded at the employer’s initiative in situation when the employer has to consider whether to terminate or cancel the employment agreement. The advantage of a termination by an agreements is that all issues related to the termination are solved at once, without the need to wait for a potential court decision. Employment agreements may always be terminated by agreement between the employer and employee provided both parties agree on the terms. The agreement may be concluded either orally or in writing. Although both types of agreements are equally valid, a written agreement is always recommended taking into account the possible interpretation of disagreements.Unauthorized Absences
The employer may terminate an employment agreement if the employee is absent from work without permission. The employer must give the employee a warning for his/her absence and give him/her the opportunity to amend his/her conduct. The regular termination notice periods must be complied with by the employer.Termination of an Employment Relationship due to a Business Transfer
The Employments Contracts Act provides regulation regarding the transfer of a business. The transfer of a business refers to transfer of an enterprise, business or an operative part thereof to another employer (company) where the business or the part thereof remains the same or similar after the transfer. It is then considered to be a transfer of a business.Trade Secrets
During the employment, an employee may neither utilize nor to a third party reveal trade secrets of the employer. If the employee has obtained such information unlawfully, e.g. by illegally gathering information from the employer’s secret files, the prohibition continues after termination of the employment relationship. Information regarding the employer’s finances, business relationships and data and software used in the company that has true significance to the employer’s business, are among others considered business and trade secrets.Termination of an Employment Relationship at the Employee’s Initiative
An employee may terminate his/her employment without any particular reason. He/she is not obliged to notify the employer of the reasons for terminating the employment. The notice period commences when the employer receives the employee’s notice of termination.Termination Grounds Related to the Employee's Person
The employer may terminate an employment agreement on grounds related to the employee’s person only when proper and weighty reason(s) for termination exist. When assessing if proper and weighty reasons exist, the number of employees in service of the employer as well as the employer’s and employee’s circumstances as a whole are taken into account. E.g. the following can give reason to terminate an employment agreement on grounds related to the employee’s person: