Knowledge Base

What are the legal requirements involved in dismissal of employees?

The default position under the 1969 Ordinance for termination of Employees requires Permanent Employees to be paid one (1) month wages (calculated on basis of prior three (3) month average). Employment Contract sometimes provide for longer notice periods. It is common for senior officers to have longer notice periods. Temporary Employees are essentially at-will employees and no notice period payments are required. 

 

Employment Contracts must always detail the notice period requirements which must be followed in order to prevent a future successful claim for damages by a dismissed Employee and which are also supported  by HR Policies. Ordinarily, with the contractual termination provisions, no reasons are required for termination as the agreed compensation is paid, which includes provident fund amounts and gratuity (provided gratuity eligibility is met).