When the Employment Relationship must end

Avoiding the pitfalls

There are many reasons why the relationship between employer and employee may end. The employee may want to move to a new employer for promotion or relocation reasons. Both parties may agree that it is for the best (resignation).

It may occur as a result of dismissal due to incompetence, redundancy or insolvency.

We look at the issues which arise when ending the working relationship.

What notice must I give?

Both employers and employees are covered under the Minimum Notice and Terms of Employment Acts, 1973 – 2001.

For more details see our article on the minimum notice required in various circumstances.

Dismissal

Great care must be taken when considering the dismissal of an employee. Under the Unfair Dismissals Acts, 1977 to 2005 all dismissals are deemed to be unfair. The onus is on the employer to prove that the dismissal was fair.

For more information see unfair dismissal

See article on gross misconduct here

See article on fair grounds for dismissal here

Redundancy

Remember as an employer, you must consider what position to get rid of in order to improve efficiency. The employee must be selected by fair methods.

More on redundancy

Insolvency

Where the employment has ceased as a result of the insolvency of the  employer the employee may be able to obtain payment under the Insolvency Payment Scheme which is operated by the Department of Social Protection.

Under the scheme if the employer is in liquidation, or receivership, or the employer has died or is legally bankrupt that is regarded as an insolvency situation.

More information is available on the Department of Social Protection's website

Where can I get more information?

You can download our short summary

Ending the employment relationship can be fraught with difficulties. If you would like to obtain independent advice from experienced experts please contact us using the orange Tell Me More button below.  

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