An employment contract can end in several ways: by the end of the agreed duration of the contract (fixed-term contract), the death of the Employee, termination by the Employer (dismissal), termination by Employee (at its own request), termination by mutual consent or termination contract by court (law). In all cases laws and regulations are applicable and support from HR professionals is advised.
End Employment Agreement on Retirement
The Employment Agreement will end on the first day of the month in which the Employee reaches retirement age.
In general, the statutory notice periods are applicable for termination of both indefinite term Employment Agreements and premature termination of the fixed term Employment Agreements. However, it is possible that a notice period other than the statutory notice period is applicable because another notice period was agreed in the individual Employment Agreement.
The statutory notice period to be observed by the Employer is:
- 1 month for an Employment Agreement continuing for less than 5 years.
- For Employment Agreements with duration of 5 and 10 years, the notice period for the Employer is 2 months, and the notice period is 3 months for Employment Agreements continuing for a period of between 10 and 15 years.
- If the Employment Agreement continues beyond 15 years, the notice period is 4 months. The statutory notice period for the Employee is 1 month.
A Letter of Reference can be written on base of termination the employment contract in a proper way.