Changes in the provisions concerning temporary redundancy

Changes in the provisions concerning temporary redundancy

The employer's obligation to pay salary during the first period of a temporary redundancy (employer I period), increases from 10 to 15 days simultaneously with the repeal of the duty to pay salary during the employer II period. In addition, the maximum period which the employer is exempted from the obligation to pay salary during a temporary redundancy, decreases from 49 to 26 weeks.

Previous regulation

Since 1 July 2016, the employer has been obligated to pay salary to the employee for the first 10 days of a temporary redundancy. After this 10-day period, the employer has been exempted from the obligation to pay salary during the temporary redundancy in a total of 30 weeks during an 18-month period. If a temporary redundancy continued after the 30 weeks, the employer was obligated to pay salary for a period of five working days (employer II period). When the employer II period had expired, the employer was exempted from the duty to pay salary during a temporary redundancy for an additional 19 weeks. Hence, the maximum period for a temporary redundancy where the employer was exempted from the obligation to pay salary, was 49 weeks.

The changes

From 1 January 2019, the employer's obligation to pay salary during the first period of a temporary redundancy increased from 10 to 15 days. At the same time, the employer II period was repealed. The maximum period which the employer can be exempted from the duty to pay salary during a temporary redundancy, has been reduced from 49 to 26 weeks.

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