TERMINATION OF AN EMPLOYMENT AGREEMENT FOR URGENT CAUSE

The cause must be material

A party to an employment agreement may be confronted with situations in which one cannot reasonably be expected to continue the employment relationship. If the employee causes this situation, the employer is entitled to terminate the agreement without notice and with immediate effect and without any permit being required.

Examples for urgent cause are gross negligence in the performance of duties, theft, fraud etc. and intentional damage to the employer’s reputation and/or property.

The cause must be material and communicated to the employee at the shortest possible notice preferably in writing and must be urgent enough to warrant immediate and irrevocable termination.

If the employee contests the termination, the employer must prove his allegations. The court may decide that no immediate termination was justified and declare termination void which shall entitle the employee (who remained available to work) to receive his salary from the date from the improper termination until the date of the termination of the employment agreement. The limited period for a claim for a proper termination is 6 months.

Karel Frielink
Attorney (Lawyer) / Partner

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