Methodological assistance to employers and employees on application of labor legislation

What is an employment contract notice?

It is an electronic document entered into the electronic information system by the employer with the help of a enhanced electronic signature, for the purpose of electronic registration of the conclusion, amendment, or termination of the employment contract in the centralized electronic information system.

Whom can an employment contract be concluded with?

An employment contract may be concluded with any person who has reached the age of fifteen. When concluding an employment contract with persons between the ages of fifteen and eighteen, the written consent of one of their parents or adoptive parents (guardians), or their legal substitutes, must be obtained. An employment contract concluded with a person under the age of fifteen shall be considered invalid, and the employer concluding such a contract shall be held administratively liable.

In what case is an employment contract considered as valid?

The conclusion, amendment, or termination of an employment contract shall enter into force after the registration of the employment contract notice entered in the electronic information system by means of a enhanced electronic signature in that electronic information system, and the electronic notification of the employer.

Does the employer have any responsibility for involving individuals in the performance of any work before the employment contract enters into force?

Individuals are fined in the amount of one thousand to two thousand manats, officials in the amount of three thousand to five thousand manats, and legal entities in the amount of twenty thousand to twenty-five thousand manats.

Who prefers to be retained during redundancies?

The employer prefers to keep the following persons if their specialties (professions) or professional levels are the same:

Members of the martyr's family;
Participants of the war;
Wife (husband) of soldiers and officers;
Those with two or more children under the age of 16;
Persons with disabilities as a result of an industrial accident or occupational disease at that enterprise;
Special IDPs or persons equated to them and persons with refugee status;

Other persons provided for in collective agreements or employment contracts.

Which organizations organize trainings on labor and social legislation?

The trainings are organized by the State Labor Inspection Service or DOST Centers under the Ministry of Labor and Social Protection.

What are the cases of gross violation of labor duties by the employee?

Not coming to work all day without any valid reason, except for his illness or the illness or death of a close relative;
Arriving at work in a state of intoxication by taking alcohol, drugs, psychotropic, toxic, or other harmful substances, as well as becoming intoxicated by taking those substances at work after arriving;
Infliction of material damage to the employer as a result of his actions (inaction).

What guarantees do employees have when their employment contract is terminated?

In case of reduction of the number of employees or reduction of staff, before the termination of the employment contract by the employer in accordance with Article 70 (b) of the Labor Code, the employee shall be officially notified based on the length of service determined by the employer in accordance with the employment contract:

If the length of service is up to one year – at least two calendar weeks;
If the length of service is from one to five years – at least four calendar weeks;
If the length of service is from five to ten years – at least six calendar weeks;
If the length of service is more than ten years – at least nine calendar weeks.

During the notice period, the employee is released from work for at least one working day each week in order to allow him to look for a job, with the retention of salary during each working week.

With the consent of the employee, the employer may terminate the employment contract on a reasonable grounds by paying a lump sum of 0.5 times the average monthly wage instead of a notice period of at least two calendar weeks, 0.9 times the average monthly wage instead of a notice period of at least four calendar weeks, 1.4 times the average monthly wage instead of a notice period of at least six calendar weeks, 2 times the average monthly wage instead of a notice period of at least nine calendar weeks, and not less than the average monthly wage instead of a notice period of at least one month.

In this case, the payment to the employees whose employment contract was terminated during the notice period instead of the notice period provided for in the first sentence of this part shall be reduced in proportion to the expired part of the notice period.

Injury to the health of colleagues or their death as a result of their actions (inaction) in violation of labor protection rules;
Intentional non-fulfillment of obligations on production, commercial or state secret disclosure or confidentiality of this secret;
Serious mistakes made in the course of employment, serious damage to the legitimate interests of the employer, enterprise or owner as a result of violations of the law;
Repeated violation of labor function within six months without drawing conclusions from the previous disciplinary sanction imposed by the employer for violation of labor function;
Committing administrative offenses or socially dangerous acts directly in the workplace during working hours.

When an employment contract is terminated by Article 70 (a) and (b) of the Labor Code, the employee shall be paid severance pay in the following amounts depending on the length of service determined by the employer in accordance with the employment contract (employment contracts) concluded with that employer:

If the length of service is up to one year - in the amount of the average monthly salary;
If the length of service is from one to five years - at least 1.4 sizes of the average monthly salary;
If the length of service is from five to ten years - at least 1.7 sizes of the average monthly salary;

With more than ten years of work experience - at least twice the average monthly salary.

How to terminate an employment contract by an employee?

An employee may terminate an employment contract by notifying the employer in writing one calendar month in advance.

After the expiration of one calendar month from the date of application, the employee has the right not to go to work and to demand the final accounting. In this case, the employer is obliged to comply with the requirements of the employee.

An employment contract may be terminated on the day specified in the application when the employee retires due to old age or disability, enters the relevant educational institution to continue his/her education, moves to a new place of residence, concludes an employment contract with another employer, is sexually harassed, and in other cases.

If the employee does not indicate in the application the date on which he/she wants to terminate the employment relationship, the termination of the employment contract on the grounds established by law shall not be allowed until the expiration of the notice period.

How is unused leave paid?

Irrespective of the reason and grounds for termination of the employment contract, the employee must be compensated for the main leave of all years of work that he did not use, without any conditions or restrictions, until the day of dismissal.

Upon termination of employment, no compensation is provided for additional leave, educational and creative leave, as well as social leave provided for in the Labor Code.

Upon termination of the employment contract of an employee who has taken leave for a certain working year before the end of that working year, the relevant part of the paid leave may be deducted from the employee

How are employees paid for each hour of overtime work?

Not less than twice the hourly rate (position) salary in the system of overtime pay;
In the system of remuneration of labor, an additional payment with full payment of wages not less than the hourly rate (position) salary of the employee of the appropriate rank (qualified);
Overtime work may not be replaced by an additional day off.

What are the grounds for termination of an employment contract by an employer?

An employment contract may be terminated by the employer on the following grounds:

When the enterprise is liquidated;
When the number of employees or staff is reduced;
When the relevant decision is made by the competent authority on the employee's incompetence due to insufficient level of professionalism, specialty (profession);
If the employee fails to perform his/her job function or obligations under the employment contract, or grossly violates his/her employment duties;
If the employee does not justify himself/herself during the probationary period;
When an employee of a state-funded enterprise reaches the age of employment.

You need to know

Officials shall be fined in the amount of five hundred to one thousand manats for failure to open the employment record book by the employer.

Irrespective of the reason and grounds for termination of the employment contract, the employee must be compensated for the main leave of all years of work that he did not use without any conditions or restrictions until the day of dismissal. Upon termination of employment, no compensation is provided for additional leave, educational and creative leave, as well as social leave provided for in the Labor Code.