Advance Notice
What is payment in lieu of notice, who is entitled to this payment, and how is the amount due to the employee calculated?
Answers (1)
The Severance Pay Law allows an employer to dismiss their employees, but only on condition that they give prior notice beforehand in accordance with protective laws, collective agreements, sector-specific extension orders, or an individual employment contract. It should be emphasized that this obligation is two-way and also applies to an employee wishing to leave the workplace. The calculation of the duration of the prior notice is derived from two parameters: the type of wage (monthly or hourly wage) and the length of employment with the same employer. For example, an employee on a monthly wage who worked less than half a year is entitled to one day of prior notice for each month of work. An employee who worked for more than a year will receive one month of prior notice.