I may have to terminate a staff contract due to continued poor work performance despite several trainings, discussions and verbal warnings. If Iunderstand correctly, I can give a one month notice (actually, I believe the law says the 30th day of the following month) 'without cause' anytime as long as I respect the notice period and pay the severance that is due depending on length of work - is this correct?

If you do not have a good cause for the employment termination then the employee is entitled to the following:

1. One month of advance notice, failure to provide this advance notice, you must then compensate him/her for such failure.

2. Severance pay in accordance (and no less) to the rates stipulated by the labor protection act.

• Working for more than 120 days but less than 1 year = 30 days severance pay
• Working for more than 1 year but less 3 years = 90 days severance pay
• Working for more than 3 years but less than 6 years = 180 days severance pay
• Working for more than 6 years but less than 10 years = 240 days severance pay
• Working for more than 10 years = 300 days severance pay

3. Salary for the last month (the recent month) of pay or in accordance to the number of days worked.

All payments due to the employee must be made on the last day of work. Be sure to have the departing employee sign to acknowledge that he/she has received the said payment from the employer. In your termination letter, please specify the reason for the termination.

An employee can be terminated immediately and not offered severance pay if they are terminated for one of the following reasons:

• dishonest performance of professional duties
• intentional criminal activity or dishonest acts towards the employer
• negligence or intentional acts which cause the employer damage
• violation of the company’s rules, regulations and orders
• absence for 3 consecutive days without sufficient reason,
• imprisonment

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