Labor Law Employee Rights After Wrongful Dismissal

Employees have their own labor set of options and rights

In the realm of labor law, there exists a complex web of rights and remedies designed to protect the interests of employees who have been dismissed from their jobs. While employers must adhere to stringent notice procedures when terminating employment, employees have their own set of options and rights when facing dismissal. This article will explore the intricacies of employee rights when seeking to return to work after being dismissed.

Employee’s Right to Cancel Employment Contract

In stark contrast to the strict procedures that employers must follow when dismissing an employee, employees possess the authority to cancel their own employment contract in writing. This cancellation can occur for any reason, without a requirement for justification, and must be carried out within the prescribed legal timeframe. However, should an employee experience a change of opinion following their dismissal, their path to reinstatement lies solely in the hands of their former employer.

Illegal Dismissal and the Employee’s Right to Remedies

If an employee believes their dismissal was unjust or executed unlawfully, they retain the right to challenge it through legal means. Within 60 days of receiving the notice of dismissal, they can file a lawsuit to annul the dismissal. If the court determines that the dismissal was indeed illegal, a series of consequences ensue, and the employer faces detrimental repercussions.

Compensation for Damages

There are several options available to compensate an employee for damages resulting from an illegal dismissal. One possibility is reinstatement with compensation, covering the wages lost during the period of unemployment. The court’s decision to oblige the employer to reinstate the employee hinges on the employer’s inability to prove that re-employment is impossible. The employee typically returns to the same position or, if that job no longer exists, to a similar one requiring equivalent professional qualifications. It’s important to note that the salary for these similar positions may be lower.

Another form of compensation is damages equivalent to the wages the employee would have earned if not for the wrongful dismissal. This sum is not limited to the net salary; it also includes the employee’s gross earnings before any deductions. However, the damages will be adjusted to account for any income earned by the employee from other sources during the unemployment period.

Tax and Contribution Obligations

The employer must calculate, report, and pay the applicable taxes and contributions for the employee, including seniority, covering the entire period of illegal dismissal.

Alternatives for Compensation

If the employee does not wish to return to work, there are three alternative compensation options. These include seeking damages equivalent to up to 18 wages, 36 wages in cases where re-employment is impossible, or six wages for dismissals deemed illegal for formal reasons.

  • Compensation for up to 18 wages is awarded as a lump sum and is based on the employee’s earnings in the month preceding dismissal, with no deductions for tax obligations.
  • For cases where re-employment is unfeasible, the court can grant compensation of up to 36 wages, calculated similarly to the previous option.
  • In instances where the dismissal was illegal solely due to formal reasons, the employee is not entitled to reinstatement but can seek compensation of up to six wages.

In the latter two alternatives, the employer is not obligated to handle tax and contribution payments.

It’s crucial for both employers and employees to be aware of these rights and obligations to ensure fair and just outcomes in cases of dismissal.

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