Learn about the legal processes for employee termination and severance in Azerbaijan
In Azerbaijan, the Labor Code stipulates the legal requirements for notice periods during employment termination. These requirements vary based on the party initiating the termination and the employee's length of service.
The employer is required to provide written notice to the employee before termination. The notice period depends on the employee's length of service:
For employees being laid off due to redundancy, the employer must provide two months' notice and grant the employee one day off per week with pay during the notice period to aid their job search.
An employee intending to resign must notify their employer in writing at least one calendar month in advance.
There are exceptions where the notice period may not be required:
In Azerbaijan, the entitlement to severance pay is largely dependent on the reason for employment termination, as outlined in the Labor Code.
Employees who are dismissed due to redundancy or the liquidation of the enterprise are entitled to severance pay. The amount of this pay is determined by their length of service:
In addition to this, regardless of tenure, employees must receive at least two month's salary if the employer modifies employment terms, they are enlisted for military service, or their health prevents them from continuing in their role.
Generally, if an employee initiates the termination of their employment contract, they are not entitled to severance pay. However, there may be exceptions to this rule if specific provisions in the employment contract or a collective bargaining agreement address severance pay upon resignation.
Severance pay is generally calculated based on the employee's average monthly salary.
The termination of an employment contract in Azerbaijan is governed by the Labor Code of the Republic of Azerbaijan. The procedures for terminations initiated by both the employer and the employee are outlined below.
The employer may terminate an employment contract for a variety of reasons, including:
The employer must provide the employee with written notice in advance, outlining the reason for termination.
An employee may terminate their employment contract by providing their employer with written notice. Some valid reasons for an employee-initiated termination include:
Fixed-term contracts usually end automatically upon the agreed-upon end date. However, either party can terminate a fixed-term contract early for a valid reason outlined in the Labor Code.
There may be additional restrictions or requirements when terminating employees belonging to protected categories, such as pregnant women, employees on parental leave, or those with disabilities. If there is disagreement over the validity of termination, the matter could be resolved through a labor dispute resolution procedure, including possible court proceedings.
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