The need to lay off workers in companies often arises because of financial difficulties or a temporary reduction in production needs. In such situations, the employer has the possibility to lay off an employee on a part-time basis.
In a part-time lay-off, the employer temporarily reduces the employee's working time and pay, while continuing to work part-time.
Reduction of an employee's working time
A lay-off is a temporary suspension of work and pay at the employer's initiative when the amount of work or the employer's financial situation so requires. The employment relationship is maintained during the period of suspension and the worker can receive unemployment benefit under certain conditions.
Part-time redundancy the worker's work is reduced so that he or she works less per week or per day during the period of lay-off. However, despite the lay-off, the employee continues to work to a limited extent. A part-time lay-off may be temporary or part-time.
In the case of part-time redundancies, the weekly working time is reduced by 1-4 full working days per week. The working time in the case of part-time redundancy may not exceed 80% of the maximum weekly working time.
Part-time redundancies allow the employer to adapt to temporary difficulties, while at the same time allowing workers to continue working part-time without having to make redundancies. Part-time redundancy is a temporary measure and the worker will return to full-time work when the company's situation improves.
Worker's right to a wage
Despite the part-time lay-off, the employee is entitled to be paid for the time worked. In addition, all other rights and obligations arising from the employment contract remain unaffected.
During the period of lay-off, the employee also has the right to resign and to accept other work.
Part-time lay-offs require justification
Dismissal always requires grounds set out in the Employment Contracts Act. An employer may lay off an employee part-time if the employer has economic or production reasons for doing so. The employer may also lay off an employee if the working conditions have substantially changed or temporarily decreased and the employee cannot be offered other work or training.
The dismissal must be precisely planned and implemented only to the extent that it is necessary and justified by changes in the employer's operating conditions. The duration of the lay-off, the way in which it is implemented and the reduction in working time must be proportionate to the changes in the situation of the undertaking.
Permanent changes to working hours do not constitute redundancy
If the employer is changing the working hours of the employee permanently, it is no longer a case of laying off the employee. In this case, it is a question of part-time employment of the employee, for which the criteria for dismissal must be met.
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The dismissal must be handled correctly in terms of procedure
Employers must be careful when laying off their employees, as the procedure for doing so must be correct, and it is advisable to use lawyers specialising in labour law.
The employer must inform the employee of the fact, rather than directly lay off the employee. at least 14 days before the start of the period of suspension in writing, in principle, to avoid any ambiguity.
If the company employs at least 20 employees, the employer must also consult the employees or their representatives before deciding on the lay-off. This is the employer's obligation to consult to negotiate changes in accordance with the law on collective bargaining prior to the lay-off.
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