Page 1 of 1

Termination of Employment Contract: what does the employer need to know?

Posted: Sun Feb 02, 2025 5:15 am
by messi69
Termination of an employment contract is a crucial issue in the labor field, representing the end of the employment relationship between employer and employee.

Understanding the aspects involved in this process is fundamental for both parties, as it can occur for a number of reasons, whether at the initiative of the employer, the employee or through a mutual agreement.

In this article we explore what termination of employment is, what types there are and everything employers need to know. Enjoy your reading!



What is termination of employment contract?
Termination of an employment contract is the jordan telegram data termination of the employment relationship between the employer and the employee, established when the employment contract is signed.

The end of the employment relationship can occur either at the initiative of the employer or the employee, or even by agreement between both.



What has changed with the Labor Reform in the termination of employment contracts?
Termination may be by mutual agreement between employer and employee, with differentiated payment of termination benefits: in addition to the remaining salary, 13th salary and vacation, the employee receives only half of the advance notice, 20% of the FGTS fine and is only entitled to withdraw 80% of it.
The approval of the termination by the Ministry of Labor or the Union is no longer mandatory.
The deadline for payment of termination payments is 10 (ten) calendar days, counting from the end of the contract.
The Annual Settlement Agreement was established and can be signed between employer and employee, together with the Union, with the aim of proving compliance with labor obligations in that employment relationship.