Termination of an Employment Contract with Just Cause

A-) Employee’s Right to Terminate the Contract with Just Cause

The employee is entitled to terminate the contract, whether for a definite or an indefinite period, within the presence of serious and important reasons determined in the Labor Law numbered 4857 (“the Law”), in the following cases and such reasons are classified in three groups.

  1. Health Reasons:a) If the performance of the work stipulated in the contract endangers the employee’s health or life for a reason which it was impossible to foresee at the time the contract was concluded.

    b) If the employer, his representative or another employee who is constantly near the employee and with whom he is in direct contact is suffering from an infecting disease or from a disease incompatible with the performance of his duties.

    It is sufficient to terminate the contract with health reasons provided that the execution of the work endangers the employee’s health or life and if lack of knowledge of such situation was not present at the time the contract was concluded, such lack of knowledge does not cause for such contract to be terminated.

  2. Immoral, dishonorable or malicious conduct or other similar behavior:a) If, when the contract was concluded, the employer misled the employee by stating the conditions of work incorrectly or by giving him false information or by making false statements concerning any essential point of the contract.

    b) If the employer is guilty of any speech or action constituting an offence against the honor or reputation of the employee or a member of the employee’s family, or if he harasses the employee sexually.

    c) If the employer assaults or threatens the employee or a member of his family to commit an illegal action, or commits an offence against the employee or a member of his family which is punishable with imprisonment, or levels serious and groundless accusations against the employee in matters affecting his honor.

    d) If, in cases where the employee was sexually harassed by another employee or by third persons in the establishment, adequate measures were not taken although the employer was informed of such conduct.

    ”Adequate Measures” means that the Employer shall endeavor to prevent such conduct from happening again, for example by changing the working place of the harasser employee or firing him if such conduct is heavily executed.

    e) If the employer fails to make out a wages account or to pay wages in conformity with the Labor Law and the terms of the contract.

    f) If, in cases where wages have been fixed at a piece or task rate, the employer assigns the employee fewer pieces or a smaller task than was stipulated and fails to make good this deficit by assigning him extra work on another day, or if he fails to implement the conditions of employment.

  3. Force Majeure
    Force majeure necessitating the suspension of work for more than one week in the establishment where the employee is working.

B-) Employer’s Right to Terminate the Contract with Just Cause
The Employer may terminate the contract, whether for a definite or indefinite period, before its expiry or without having to comply with the prescribed notice periods, in the following cases:

  1. Health Reasons:a) If the employee has contracted a disease or suffered an injury owing to his own deliberate act, loose living or drunkenness, and as a result is absent for three successive days or for more than five working days in any month.

    b) If the Health Committee has determined that the suffering is incurable and incompatible with the performance of the employee’s duties. In cases of illness or accident which are not attributable to the employee’s fault and which are due to reasons outside those set forth in (a) above and in cases of pregnancy or confinement, the employer is entitled to terminate the contract if recovery from the illness or injury continues for more than six weeks beyond the notice periods set forth in article 17 (differs according to working periods). In cases of pregnancy or confinement, the period mentioned above shall begin at the end of the period stipulated in Article 74 (eight weeks before child delivery and eight weeks after child delivery, sixteen weeks in total). No wages are to be paid for the period during which the employee fails to report to work due to the suspension of his contract.

  2. Immoral, dishonorable or malicious conduct or other similar behavior:a) If, when the contract was concluded, the employee misled the employer by falsely claiming to possess qualifications or to satisfy requirements which constitute an essential feature of the contract or by giving false information or making false statements.

    b) If the employee is guilty of any speech or action constituting an offence against the honor or dignity of the employer or a member of his family, or levels groundless accusations against the Employer in matters affecting the latter’s honor or dignity.

    c) If the employee sexually harasses another employee of the employer.

    d) If the employee assaults or threatens the employer, a member of his family or a fellow employee.

    e) If the employee commits a dishonest act against the employer, such as a breach of trust, theft or disclosure of the employer’s trade secrets.

    f) If the employee commits an offence on the premises of the undertaking which is punishable with seven days’ or more imprisonment without probation.

    g) If, without the employer’s permission or a good reason, the employee is absent from work for two consecutive days, or twice in one month on the working day following a rest day or on three working days in any month.

    h) If the employee refuses, after being warned, to perform his duties.

    i) If either willfully or through gross negligence the employee imperils safety or damages machinery, equipment or other articles or materials in his care, whether these are the employer’s property or not, and the damage cannot be offset by his thirty days’ pay.

  3. Force Majeure:
    Force majeure preventing the employee from performing his duties for more than one week.
  4. If due to the employee’s being taken into custody or due to his arrest, his absence from work exceeds the notice period indicated in Article 17 (differs according to working periods).

C-) Termination Period of the Employee or the Employer to Execute the Termination Right

The right to terminate the employment contract for the immoral, dishonorable or malicious behavior is subject to two prescription periods. Such right shall be exercised in six working days of knowing the facts of the immoral, dishonorable or malicious behavior however execution of such right is also subject to one year period in any event. The “one year” statutory limitation shall not be applicable, if the employee may derive pecuniary advantage out of it.

However, the Employer may terminate the contract after one year period justifying his grounds on sub section II of Article 25 (immoral, dishonorable or malicious behavior) provided that the employee has derived pecuniary advantage out of a corruption and the Employer is notified of such corruption of the Employee after one year period.

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