Career: Terminate correctly – that’s how it works

The end of a working relationship between a company and employees follows certain rules. Employees should know these so that the farewell goes smoothly.

Illustration: Charlotte Eckstein / NZZ

At some point it just ends. Anyone who feels in the wrong place, constantly questions the meaning of their work and finds the exchange with colleagues to be tedious instead of enriching, will ponder the thought of going. Or he or she has a better offer from another company. But be careful! A «I hereby terminate . . .» can quickly come out of one’s lips in a conversation out of an emotion. And the cancellation two-liners by e-mail can also be written quickly.

However, there are a few things to consider. In principle, the Swiss employment contract law applies principle of freedom of dismissal. An employment relationship can therefore be terminated by either party at any time, with a few exceptions. So it’s important to know what’s legal and what’s not, and that it makes a financial difference who fires whom.

I quit!

  • Time: The law stipulates that the notice period always expires at the end of a calendar month and can therefore only be terminated at the end of a month. A look at the employment contract reveals whether the company has made a different arrangement. That is legally allowed. So it may be that a company allows termination on any date instead of at the end of the month.
  • Shape: The law does not require that the job can only be terminated in writing; It is also possible to communicate verbally, by email or even by SMS. If you want to avoid having problems with the evidence in the event of a dispute, you should definitely give notice in writing. If the employment contract states that the termination must be in writing, this can only be done by means of a document signed by hand or with a certified electronic signature, write the legal experts from BDO Switzerland.
  • Reason: Not necessary – for both sides. In the shortest case, the termination can therefore consist of one sentence that clearly and unambiguously shows that the employment relationship is terminated. However, if the company terminates an employee, the latter can request a written justification for the termination in order to rule out that it is a improper termination acts.
  • Validity: Anyone who quits their job should not do so at the last minute at the end of the month. Because in this case, it is not the date of the postmark that is relevant, but the time when the notice of termination arrives at the recipient or is ready for collection at the post office. If you want to be sure that you can leave the company at the end of the year, for example, you shouldn’t rush to the post office on September 30th.
  • Consequences: Anyone who resigns themselves and then becomes unable to work has forfeited their protection against dismissal. And anyone who resigns without already having signed a new employment contract in their pocket must also be aware of the financial consequences (see: financial consequences).
  • Better for the ego: It’s better to hand over the resignation letter to the boss with your head held high than to be shamefully shown the door. That’s probably how many people think. That is understandable. Being fired is an uncomfortable feeling. Even if it’s not because of the quality of your own work, but because, for example, a production is stopped and an entire team is fired. In addition, it sounds better at first glance if the job reference states that you are leaving the company of your own volition. Nevertheless, two aspects are worth considering: At the latest at the next job interview, you have to admit that you are unemployed. This is also not a pleasant situation and can put additional psychological pressure on you when looking for a job. In addition, the job reference does not necessarily have to state who resigned. So if you have financial obligations – family, mortgage – you should think twice about resigning without finding a new job.
  • Transcript: The employee has the right to request a job reference at any time, be it a final reference or an interim reference, if the supervisor has given notice.

Unfortunately we have to inform you that . . .

  • Without warning, without good reason: From a company’s point of view, freedom of dismissal means that it can evict an employee without warning and without giving a reason. This means that redundancies out of the blue are also permissible. According to the Federal Supreme Court, it is “hardly decent” to be dismissed without a prior discussion – but not illegal, he quotes “Observer”.
  • Justification at the request of the employee: If the terminated employee requests a reason, the company must comply with this request expeditiously. Since the justification can also be used to assess whether an abusive termination has occurred, employers should argue carefully; the justification should be true and comprehensible and also understandable for third parties.
  • Termination without notice: This type of termination is only possible in the case of particularly serious misconduct on the part of the employee. They must result in the relationship of trust being destroyed or shaken to such an extent that the company can no longer be expected to continue the contract. In the case of less serious misconduct on the part of the employee, it must have occurred repeatedly in accordance with federal court decisions, despite a warning.
  • Abusive Termination: What is abusive will be in OR 336 listed. However, this list is not final, but is constantly being further developed as a result of new federal court decisions. It is important to understand: “An abusive notice of termination is fundamentally valid and therefore legally effective. As a legal consequence of the abuse, however, the law provides for an obligation to pay compensation in the form of a penalty payment Guidelines of the law firm Wenger & Vieli. Those affected can claim compensation of up to six months’ wages, writes the Observer”.
  • Protection against dismissal: If an employee is completely or partially unable to work, he enjoys protection against dismissal depending on his affiliation with the company. In the first year, he or she may not be dismissed for 30 days from the start of the incapacity to work. Protection against dismissal lasts for 90 days between two and five years of service. From year 6 of service it is 180 days. After these periods have expired, the employee can be dismissed. If he returns to his job 100 percent sooner, he can also be terminated. Conversely, the employee can resign at any time, even while on sick leave.
  • Exemption: A company can decide to release an employee immediately upon termination, for example to prevent further contact with customers. The employee is then relieved of all obligations, but receives full wages with all allowances until the end of the notice period. And he or she can devote himself full-time to finding a new job.

financial consequences

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