How to legally terminate an employment contract without notice

Last Updated on September 7, 2022 by user

Laying off an employee can have many legal implications and consequences. There are a few cases where you can terminate an employee without notice.

Whether a contract is limited or unlimited, an employer can terminate an employee without any notice due to the following reasons as stated by Article 120 of the federal law:

Termination of an employment contract by an employer

1. If an employee fails to perform basic duties as mentioned on the employment contract even after receiving warning letters, the employer has a right to terminate the employee without any notice.
2. If the employee submits forged documents or adopts a false identity.
3. If an employee is under the influence of alcohol or any prohibited drugs during working hours.
4. If an employee is under a defined probation period, the employer has the right to terminate the contract during or at the end of this probation period.
5. If an employee commits an assault of any kind against anyone in the organization.
6. If an employee discloses any confidential information about the company he/she works for.
7. If an employee is absent for 20 intermittent days or 7 consecutive days from work without any lawful excuse.
8. If an employee commits an error that causes substantial material and financial loss to the employer given that the employer notifies the labor department within 24 hours.
9. If an employee disobeys instructions respecting industrial safety or the safety of the workplace, on condition that such instructions are in writing and have been posted at a conspicuous place and, in the case of an illiterate worker, that he has been acquainted with them orally.
10. If an employee is finally sentenced by a competent court for an offence involving honor, honesty or public morals.

Termination of an employment contract without notice by an employee

1. If the employer fails to comply with her/her obligation, as mentioned in the contract.
2. If the employee is assaulted by the employer or the employer’s legal representative.
3. If the employee has filed a court case against the employer due to the failure of securing employment for the worker.
4. If the final ruling of a labor complaint from the labor court is ruled in favor of the employee.