Remedies against unfair or unlawful termination with notice. Vol. 1

An employee who has been terminated with notice may bring an action against the employer. The scope of available actions depends on the kind of the employment contract which has been terminated.

In case of the employment contract for indefinite time the employee may challenge termination that was unfair or unlawful. ‘Unfair’ means without just cause, e.g. when grounds for termination provided by the employer are untrue. ‘Unlawful’ means violating statutory provisions related to termination, e.g. made otherwise than in writing or during the employee’s justified absence.

The employee who has been dismissed in an unfair or unlawful manner may file for:

  • declaration that the termination with notice was ineffective (as long as the contract is in force) or reinstatement to his or her previous position (when the employment contract has come to an end due to lapse of the notice period); or
  • damages.

The choice of remedy belongs to the employee.

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The amount of damages which may be awarded by the court ranges from two weeks’ to three months’ wages, but no less than wages due for the applicable statutory period of notice. The court may award damages even if the employee demanded otherwise if it is found that, despite the termination being unfair or unlawful, it would be impossible or purposeless to continue employment.

A court dispute initiated by the employee may be resolved by means of a settlement, the subject-matter of which may vary, depending on the parties’ mutual arrangements, e.g. it may provide for damages instead of reinstatement or a different manner of termination of employment.

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