What should you watch out for in the event of terminations?
Dismissals are not pleasant, but they are part of the working world. Especially when executives or HR managers are abroad, it is important to plan the layoffs and implement them in accordance with local laws. What do you have to consider? That's what this blog post is about!
Observe contractual and statutory notice periods
When dismissing employees, employers must comply with the contractual and statutory notice periods. If you fail to do so, terminations may be ineffective.
The necessary notice periods should therefore be checked prior to any termination. Even in exceptional cases such as B. Probation, pregnancy, and parental leave employers should inform themselves before taking action.
Check the type of termination and the reason for termination
There are two types of terminations. An "ordinary termination" and an "extraordinary termination". Ordinary termination is timely and is therefore given in compliance with the notice period, as regulated in the employment contract. For employers, operational, personal, and behavioral dismissals come into question. There must be an important reason for an extraordinary termination without notice.
For a termination on the part of the employer to be effective, the termination must meet certain requirements. For an effective termination, there must be a reason listed in the Dismissal Protection Act.
The risk of a dismissal protection process
Employers must note that there are only two options under the Dismissal Protection Act. Either a termination is effective and there is no entitlement to severance pay or the termination is not effective and the employment relationship must be continued. Since there is therefore a certain risk with employers and employees, a mutually amicable agreement is usually sought.
A “respectful” termination is important
Employers are advised to establish professional separation management and a constructive separation culture in the company. The goal should be that dismissals are carried out with respect and appreciation. It is important to have extensive preparation and follow-up work for the conversation
Negative effects on the employer image
Terminations in Germany can lead to uncertainty among the rest of the workforce. The consequences can be restlessness, loss of production, and even voluntary resignations by employees.
It is possible that the image of the employer, as well as the motivation of the employees, will decrease. In order to process the downsizing and to familiarize oneself with the new situation, care should be taken to give the remaining employees enough time for this. Overall, employees should be shown understanding of the situation. Honesty and recognition of individual performance are of great importance for the company's success. Employers should make the downsizing process as transparent as possible to the workforce
You may have had to separate with employees due to the Corona crisis, but now want to hire new employees and talents again.