Termination of employment by agreement
It is said that an agreement is always better than a quarrel. This also applies to the end of a collaboration. Termination by agreement is when the employee and employer agree on terms. Whether it’s because of a new job offer, life changes or other reasons, an agreement can be a quick solution without the employee having to wait for the notice period to run out.
If you and your employer get on peacefully and can get along, terminating your employment by agreement is a viable way to end your employment. But be careful – even in this case, it is important to know what you and your employer agree on. This is because the agreement can include terms for severance pay, taking holidays and even a letter of recommendation. The agreement should always be in writing to be valid. If you need help with drafting it, don’t hesitate to contact us.
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Notice given by an employee
Going to your boss and telling them you want to leave can sometimes be so stressful that it’s best to do it quickly, but with the other party in mind. As an employee , you can give notice at any time, but you must allow for a notice period, which is usually two months. You will find the notice period specified in your employment contract. Usually, it only starts on the first day of the following month, but according to the amendment to the Labour Code, which should come into force in 2025, the notice period should start from the day you give your notice to your employer.
If you are going to give notice, we recommend that you do so only when you have at least partial security of a new position or another back-up plan. This will save you the stress of losing income. Quitting your job is the standard way to quit, but it pays to do a little planning.
Tip na článek
Tip: Have you already decided to leave your job, but you’re not sure how to proceed? Read our simple 5-point guide on how to quit your job.
Termination by the employer
Termination by your employer is a slightly different story. Usually not so cheerful. In order to dismiss you, your employer must have specific reasons for doing so, which are set out in the Labour Code. The usual reasons are organisational changes (e.g. abolition of a job), loss of competence of the employee or serious misconduct.
Here, the law protects you as an employee more because you are entitled to severance pay (if you are terminated for organisational reasons). It is the severance pay that can be a nice bonus or at least a partial patch on the wound that a termination by the employer can cause.
Tip na článek
Tip: The cases in which you can be dismissed for redundancy are clearly specified. What if your employer abolishes your position and then creates it and fills it with someone else? Read about this issue in our article.
Immediate termination of employment
In some cases, even a good working relationship can end in a matter of hours. Immediate termination of the employment relationship is reserved for exceptional situations. The employer may terminate the employment relationship immediately if the employee seriously breaches work discipline or legal obligations. An employee may terminate the employment relationship immediately if the employer owes him/her wages or there is a risk to his/her health as a result of his/her work activities.
Immediate termination of the employment relationship is an extreme step and must be justified. Here it is worth having a lawyer on hand to consult with first, as both the employee and the employer may pay for the wrong action.
Termination of employment during the probationary period
If you are in a new job and find that this just isn’t going to be right for you, you have the option of terminating your employment during the probationary period. However, your employer can also use this method. The probationary period is usually three months, up to six months for managerial positions, and its purpose is to see if the employee and the employer “click” so to speak.
The advantage is that the employment relationship can be terminated by both parties immediately and without giving any reason. Terminating employment during the probationary period can be quick and allow you to move on freely to new opportunities, or take time to think things over before the next job comes up.
Tip na článek
Tip: If your health has deteriorated to the point where you are no longer able to do your job, you can give notice on medical grounds. Find out what your employer must do in this case and what you are legally entitled to.
What to do with unused vacation time?
If you still have some days of leave left, you can agree with your employer to take the leave within the notice period or to be reimbursed on termination. This always depends on the arrangement and how quick your departure is.
Starting a new job and overlapping employment
Quitting your job and starting a new job can easily be two consecutive events without creating a gap between jobs. This is the ideal situation. But if the period between the end of one job and the start of the other is longer than a month, you should address the issue of health and social security payments. Health insurance is compulsory, so unless you are employed or registered with the Job Centre, you will have to pay it yourself.
It is important that your two jobs do not overlap, because if you do not have explicit permission from your employer to work on the side, you could find yourself in an awkward legal situation.
Conclusion
Quitting your job is a major decision that is usually the start of something new. Terminating employment should be well thought out and preferably planned. If you have a new job offer, take the time to prepare for a smooth transition. Whichever way you choose to end your employment, think about your rights and responsibilities.
