Notice Period: What You Should Know

A notice period is the time that both the employee and employer must serve before ending the employment relationship. Although it may seem like a simple process at first glance, there are many details involved that may raise questions. What should you do if you plan to submit your resignation? What are your rights and obligations? And what if you are an employer and need to terminate an employee? Let’s take a closer look at the most important aspects of the notice period.

1. What is the notice period? The notice period is the time following the submission of a resignation by the employee or employer to terminate the employment contract. The length of the notice period depends on the employee’s length of service in the company and the type of contract (fixed-term, indefinite-term, or probationary contract). The purpose of the notice period is to allow both parties to adequately prepare for the end of the working relationship.
2. What are the rules regarding the length of the notice period? According to the law, the notice period for an indefinite-term contract is as follows:

• 2 weeks – if the employee has worked for less than 6 months in the company.
• 1 month – if the employee has worked for at least 6 months but less than 3 years.
• 3 months – if the employee has worked for the company for at least 3 years.

For a fixed-term contract, the notice period cannot be shorter than 2 weeks unless otherwise specified in the contract. A probationary contract can be terminated with a 3-day notice period if it lasted less than 2 weeks or with a 1-week notice period if the contract lasted longer than 2 weeks.

3. What happens if the employer does not adhere to the notice period? An employer who does not adhere to the notice period may be required to pay the employee compensation equal to the salary for the period that should have been covered by the notice period. This compensation results from the failure to fulfill the terms of the contract.
4. What should an employee do during the notice period? An employee who submits a resignation should maintain professionalism and continue performing their duties throughout the notice period. Regardless of whether the decision to leave was difficult or not, it is important to maintain positive relationships with the employer and colleagues. Leaving work in a planned manner helps preserve a good reputation and allows the employee to obtain positive references.
5. What are the employer’s obligations during the notice period? The employer is obligated to pay the employee’s salary for the entire notice period. The employer may also decide to release the employee from work duties during this period, known as a “release from work” (a “no work” period). The employer should also ensure compliance with legal requirements regarding benefits, such as vacation pay, and any other elements of compensation to which the employee is entitled.
6. What about immediate termination of the contract? There are situations in which both the employee and the employer can terminate the employment contract immediately, without adhering to the notice period. Such termination may occur if there is a serious breach of the terms of the contract by one of the parties (e.g., non-payment of wages, serious misconduct by the employee).
7. Can the notice period be shortened? In certain situations, the notice period may be shortened by mutual agreement between both parties. It may happen that the employer and employee agree on an earlier termination date, for instance, if the employee urgently needs to start new employment.
8. Summary The notice period is a crucial element in ending the employment relationship, giving both parties time to prepare for the change. Both the employee and the employer should ensure that the notice periods are adhered to correctly and maintain professionalism throughout this time. Knowledge of the legal provisions concerning notice periods will help avoid misunderstandings and make the process of ending employment smoother. Remember, for both the employer and the employee, ending the relationship in a planned and legally compliant manner is key to maintaining good professional relations.