Terminating the Employment Relationship of a Laid off Employee

Layoffs [Layoffs]⁠ do not diminish the employees’ protection against termination. The employer may terminate the employment relationship of a laid off employee based on the termination grounds provided by law. The employer shall, however, comply with the termination periods set out in the employment agreement, Employment Contracts Act and collective agreement, and pay the employee his/her salary for the notice period, even though the employee is laid off. The employer may deduct a salary sum of 14 days from the salary for the notice period, if the employee has been laid off using a layoff notification period of more than 14 days. The employer is also obliged to pay the employee holiday compensation for the notice period.

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[Termination of the Employment Relationship of a Laid off Employee]⁠