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Employment contracts can be terminated due to expiration of the term, death, mutual agreement of the parties, or wrongful termination by the employee/employer. The most significant reason for terminating an employment contract is wrongful termination, so we will provide detailed information below regarding termination reasons and the rights of employees regarding wrongful termination.
Generally, notice-based termination applies to indefinite-term contracts or fixed-term contracts that later convert into indefinite-term contracts. When termination occurs, the rights of the terminated employee must be addressed.
As a result of the freedom of contract, the parties can freely terminate their contracts through notice-based termination without the need for a specific reason. However, if the parties have stipulated in individual or collective employment agreements that termination can be based on certain reasons, then wrongful termination will be valid if it is based on the designated reason, and in this case, stating the reason for termination becomes important.
According to Article 17 of the Labor Law, notification periods of two, four, six, and eight weeks are regulated depending on the employee’s seniority. Accordingly, notification periods are set as 2 weeks for employees who have worked up to 6 months, 4 weeks for employees who have worked between 6 months and 1.5 years, 6 weeks for employees who have worked between 1.5 years and 3 years, and 8 weeks for employees who have worked more than 3 years.
These notification periods mentioned are indivisible in nature, meaning that uninterrupted and complete notice period must be complied with according to the employee’s seniority. Before addressing the rights of terminated employees, it must be determined whether the notice period has been properly granted.
One of the rights of terminated employee is that, according to Article 27 of the Labor Law, the employer is obliged to grant the employee permission to search for a new job; the employer must provide the employee with job search permission for at least two hours per day. Notification periods are a matter that both the employee and the employer should consider.
However, the right to terminate the employment contract by paying the wages for the notification period is granted only to the employer. According to Article 17 of the Labor Law, both the employee and the employer who do not comply with the notification periods are obliged to pay compensation in the amount of the wages for the notification period in order to protect the rights of the terminated employee.
Lawsuits related to notification compensation are subject to a statute of limitations of 5 years. In the case of contracts that have not converted into fixed-term or indefinite-term contracts, notification compensation does not arise upon termination.
For detailed information about Labor Law in Turkey, please visit our page here.
Labor Law Article 8 – An employment contract is a contract formed by one party (the employee) undertaking to perform work under dependence and the other party (the employer) undertaking to provide payment. Unless otherwise specified in the law, an employment contract is not subject to a specific form.
Article 18 of the Labor Law stipulates the conditions for termination with valid grounds. Accordingly, an employer terminating an indefinite-term employment contract of an employee with a minimum of 6 months of seniority, in a workplace employing thirty or more workers, must have valid grounds for the termination. The number of employees at the time of termination should be considered, and the judgment should not be based on the number of employees during the lawsuit. It is important to note that terminations based on this provision do not imply termination without severance pay. The rights of the terminated employee should be calculated and their compensation should be paid.
Another important aspect for employees to benefit from job security provisions is that the employee should not be a representative of the employer. However, employees who manage and administer the entire workplace but do not have the authority to hire or dismiss employees can benefit from job security provisions.
Article 18/1 of the Labor Law explains the concept of valid grounds, stating that the termination must be based on the existence of a valid reason arising from the employee’s competence, behavior, or the requirements of the enterprise, workplace, or work. Additionally, termination must be the last resort. In other words, the employer should have exhausted all options to maintain the employment relationship and resorted to termination as a last resort. In this case, it is not a case of termination without compensation, and the rights of the terminated employee should be protected.
The burden of proof that the termination is based on valid grounds rests with the employer. According to Article 20 of the Labor Law, an employee whose indefinite-term employment contract is terminated and who is dismissed without valid grounds can first exhaust the mandatory mediation process within 1 month of the notification of the termination and then file a reinstatement lawsuit within a two-week period, claiming that the termination is not based on valid grounds. These time limits are limitation periods and must be considered by the court ex officio.
If the employee’s reinstatement lawsuit based on wrongful termination is accepted, the employee must apply to start work within 10 working days and be paid the accrued wages and other entitlements for a maximum of four months until the decision becomes final. Additionally, if the employer fails to re-employ the wrongfully terminated employee within 1 month after the application, according to Article 21 of the Labor Law, the employer will be obliged to pay compensation in an amount of at least four months’ and up to eight months’ wages to the employee, which will be determined by the court. The rights of wrongful dismissal employees are protected by job security provisions.
Article 22 of the Labor Law addresses the issue of making changes in working conditions. When an employer intends to make changes in working conditions, they must inform the employee in writing about the situation. Changes that are not made in accordance with the proper procedure and are not accepted by the employee in writing within a 6-day period will not be binding on the employee.
The valid grounds for the employee to terminate the employment contract are listed in Article 24 of the Labor Law, which are as follows:
Health reasons that grant the employee the right to terminate the contract without notice arise when the nature of the work covered by the employment contract poses a danger to the employee’s health or life or when the employee is continuously in close or direct contact with the employer or another employee who has a contagious or incompatible disease with the employee’s work. In such cases, the employee can immediately terminate the employment contract without notice.
Article 24/2 of the Labor Law specifies these cases, and the following reasons are frequently encountered:
According to Article 24/3 of the Labor Law, if compelling reasons arise in the workplace where the employee is employed and require the work to be suspended for more than one week, the employee may immediately terminate the employment contract. The employer is obligated to pay half of the wage for this one-week period. If the compelling reason continues, the employee may choose to wait for it to be resolved, but in this case, the employment contract will be suspended, and payment of half of the wage will not be possible.
Please note that the specific circumstances and requirements for each termination ground may be subject to further interpretation and legal considerations. It is advisable to consult with a legal professional or refer to the relevant labor laws and regulations for precise information in a specific situation.
According to Article 25 of the Labor Law, in case of just cause arising, the employer has the right to terminate a fixed-term or indefinite-term employment contract immediately and without waiting for the notice period to expire. In this case, the termination is made without any severance payment, and if the employee claims that the reason for the termination is not valid, the first termination rights of employee is the right to file a lawsuit. The justified reasons mentioned in the article are briefly grouped as follows:
1. Health Reasons
Under Article 25/1 of the Labor Law, if an illness or disability arises as a result of the employee’s own intent, disorderly lifestyle, alcoholism, and the illness suffered by the employee cannot be treated and poses a risk to working at the workplace, as determined by the relevant Health Committee, the employer can immediately terminate the employment contract without any severance allowance.
For the employer’s right to terminate the contract without notice to arise, the absence must last consecutively for three working days or for more than five working days within a month. Except for these reasons, if the employee becomes ill, has an accident, or experiences childbirth or pregnancy, the employer’s right to terminate the contract due to the employee’s absence arises after the employee’s absence exceeds the notification periods specified in Article 17, depending on the employee’s working period. In the case of childbirth and pregnancy, the absence period is calculated by adding 6 weeks to a total of 16 weeks, with 8 weeks before and 8 weeks after childbirth.
Article 25/2 of the Labor Law specifies these cases, which include:
In the presence of these cases, the termination is made without any severance payment. However, if the employee can prove that they were unjustly terminated, they have the right to file a lawsuit.
As stipulated in Article 25/3 of the Labor Law, if a compelling reason arises that prevents the employee from working for more than one week, the employer can immediately terminate the employment contract. If the compelling reason lasts less than one week, the employer does not have the right to terminate the contract.
4.Detention or Arrest of the Employee
In the event of the employee’s detention or arrest, if the absence exceeds the notification periods specified in Article 17, the employer can immediately terminate the employment contract without any severance allowance under Article 24/4 of the Labor Law.
Concrete explanation of the termination reason is not essential in the termination notice; the act of giving notice is sufficient. However, in case of any dispute, it is important for the party giving the termination notice to specify that it is based on justifiable reasons in order to prove the existence of valid grounds. The parties are bound by the stated termination reason. If the termination reason is inconsistent, it will be wrongful dismissal and it may lead to the terminated employee claiming their rights.
If the termination rights of employee are based on violations of morality and good faith by either the employee or the employer, the party learning about such behavior cannot exercise their termination right until 6 working days have passed from the date they learned about it, and in any case, not after 1 year from the occurrence of the act. This provision is regulated in Article 26/1 of the Labour Law. The specified time limits are statute of limitations, and the court must consider them ex officio. Even if the employer is justified, failure to comply with the specified time limits will prevent them from exercising the right to terminate the employee without severance pay compensation.
Unjustifiable termination refers to termination that occurs when there is no valid reason, when the stated reason is untrue, or when the termination rights of employee are not exercised within the legal timeframe. In such cases, the terminated employee’s rights come into play, and they can file a lawsuit for compensation for wrongful termination.
The consequences of wrongful termination come into effect and the contract is terminated as of the moment the termination will is communicated to the other party. Within the scope of Articles 24/2 and 25/2 of the Labour Law, if the employee or employer complies with the specified time limits in Article 26, they can claim compensation based on general provisions.
If the employee terminates the employment contract for justifiable reasons, they may be entitled to severance pay. However, if the employment contract is terminated by the employer based on violations of morality and good faith or similar reasons, the employee will not be entitled to severance pay. Additionally, if the employer terminates the employment contract due to health reasons or compelling reasons, the employee will still be entitled to severance pay, and the rights of the terminated employee will be protected.
The right to terminate for justifiable reasons cannot be restricted or waived by contractual agreements, but within the limits of imperative provisions, certain situations may be accepted as justifiable termination reasons. These limitations can be in favor of the employee and can be expanded accordingly.
The termination rights of employees regarding wrongful dismissal can vary depending on labor law and relevant legal regulations. However, generally, they have the following rights:
To fully protect the rights of unfairly dismissed employees, it is important to pay attention to labor laws and the legal regulations governing the employment relationship. If an employee believes they have been unfairly dismissed by their employer, they can seek assistance from an employment lawyer and take steps such as reporting the situation to the relevant authorities or filing a lawsuit.
What should an unfairly dismissed employee do? Here are some steps to follow:
When workers’ relationships with an employer come to an end after a period of employment, they generally have a right to severance allowance, also known as termination pay, in many countries. Severance pay is a compensation given to employees when they are terminated by their employer or when the employment relationship comes to an end. It is a payment that employees receive from the employer as a recognition of their contributions and to acknowledge their long-term commitment and experience with the employer. While the question of how to receive severance pay involves technical and legal knowledge, you can follow the steps outlined below as a brief guide.
Severance pay is an amount of compensation paid to an employee when the employment relationship is terminated. This payment is calculated based on the duration of the employee’s service and certain factors determined by the employer. Severance pay is typically provided in cases of employee termination, retirement, expiration of an employment contract, or mutual agreement with the employer to separate. It is usually calculated at a rate based on the employee’s length of service and often tied to their salary.
The following are some brief points regarding how to receive severance pay and the characteristics of severance allowance.
Severance pay is considered a right earned by employees in their work life, and it is paid as compensation for the wrongful dismissal of employment by the employer. Since each country has its own legal regulations and conditions, it is important to comply with the labor laws of the respective country regarding how to receive severance pay. Workers should seek advice from a wrongful termination lawyer to understand termination rights of employee and fulfill the necessary requirements.
After understanding how to claim severance pay, the second issue is accurately calculating the severance allowance. The calculation of severance pay for unfairly dismissed employees can vary from country to country and depending on legal regulations. Each country has its own labor laws and methods for calculating severance allowance. Therefore, it is important to refer to the laws and regulations of the relevant country for the calculation process. However, generally, the calculation of severance pay is based on the following factors:
The factors mentioned above provide a general overview of the calculation of severance pay, which is one of the rights of employees who are terminated. However, each country has its own unique methods for calculating severance allowance. Therefore, it is important to examine the labor laws, regulations, and guidelines of the relevant country for the calculation of severance allowance. Seeking assistance from a labor attorney is also advisable.
A reinstatement lawsuit is a legal process that involves the employee who has been unjustly dismissed seeking to return to work. Whether the employee is subjected to wrongful termination without compensation or with compensation, if they are covered by job security, they have the right to file a reinstatement lawsuit. If the employee believes that the employer has violated laws or labor regulations, they can file a reinstatement lawsuit to cancel the termination decision or request to be reinstated. Here is more information about the reinstatement lawsuit:
The reinstatement lawsuit is an important legal process for the reinstatement of an employee who has been wrongfully dismissed and for the protection of their rights. It is important to seek assistance from a wrongful termination lawyer to understand the termination rights of employee and the labor laws of the respective country and to take the necessary steps.
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