Today, the topic of dismissal and layoffs is quite relevant. A large number of citizens lose their work every day, while few of them know the legal basis of labor legislation, and not everyone is familiar with the basic norms of the labor code of the Russian Federation.
So, the reduction of staff is one of the grounds for the cancellation of an employment contract, which implies a decrease in the number of staff units relative to a certain position or a complete exclusion from the staff of occupied posts.
The reduction in the number of employees obliges the employer to make a full calculation with each of the dismissed employees.
The expected payments for the reduction are provided for by the labor legislation of the Russian Federation. They include:
Full payroll
In relation to each employee to be dismissed (regardless of the reasons for dismissal), the final payroll is made. When reducing staff, the employee is supposed to maintain the average salary for the period of job search, but this period should not exceed two months from the date of dismissal. With rare exceptions, reductions are retained for the laid-off employee for up to three months, provided that within fourteen days after the dismissal, the laid-off contacted the employment service, but for reasons beyond his control, was not employed.
Severance pay accrual
Severance pay - the amount of material assistance necessary for further employment, which is charged as a result of the dismissal of an employee without his fault. Upon cancellation of the labor agreement in connection with the staff reduction, the employee who is dismissed is entitled to the severance pay. According to the established norms of the Labor Code, its size should be equal to the size of the average salary of the dismissed.
Calculation of the reduction in the amount of fourteen-day average earnings is due to the employee if the employment agreement is terminated due to:
- refusal to transfer to another position (due to medical contraindications or due to the lack of suitable vacant places);
- refusal to transfer to an enterprise (organization) located in another locality, together with the employer;
- recruiting an employee for military or alternative service;
- restoration to work of a person who previously performed this work;
- recognition of an employee as incapable of work (if there is an appropriate medical opinion);
- refusal of the employee from the proposed work in connection with significant changes in the content of the employment contract ;
- other cases stipulated by the content of the labor or collective agreement.
For seasonal employees or employees who work in the regions of the Far North, the size of the payoff with the reduction is equal to the monthly average earnings with a saving of up to three months, however, the employment service is competent to extend this period to six months.
Other payments for reduction
The above payments for staff reductions are not exhaustive. The accrual of other monetary compensation is due:
- in the event that the dismissed employee has unused vacation;
- if the labor agreement was terminated within a period not exceeding two months from the day of notification (the employer is obliged to make an employee a cash payment in the amount of the average salary, which is calculated in proportion to the working time, until the expiration of the termination notice).
After receiving the final payments, as well as after the issuance of the work book and other personal documents, the employee dismissed for reduction will solve further employment issues only with the employment service.