Illegal termination is the situation that occurs when the fee is not paid or incompletely paid in the event that one of the parties is given incomplete without giving a notice period, or the termination is made with a cash payment. In case of unlawful termination, the following compensations are entitled;

  • Notice Compensation
  • Severance Pay
  • Material and Moral Compensation
  • Malicious Indemnity
  • Union compensation

termination benefits

In case the termination is made illegally, the party making the illegal termination has to pay notice indemnity. Notice indemnity is paid only in case of unlawful termination of employment contracts of indefinite duration. If the termination is made illegally, wages, severance pay, material or morale compensation, etc. It does not prevent the rights from being taken, only the notice compensation is paid as a result of unlawful termination. In the event of termination made by the employer without complying with the notification periods, the employee may demand from the employer all the rights he will obtain within the notification period. For example;If the notice period was followed, the worker would be entitled to severance pay, but if the worker is deprived of this right as a result of termination without complying with the notice period, the worker will be able to claim severance pay. The statute of limitations for notice indemnity is 5 years.

severance share

In case of unlawful termination of the contract by the employer, the worker who has worked in the workplace for more than one year is entitled to severance pay. The termination of the contract by the employer, duly or illegally, for any reason other than the situations that do not comply with the rules of morality and goodwill and the like (IK m.25 / II), leads to the birth of the right to severance pay.

Material and Moral Compensation

As a result of unlawful termination, the parties have the right to demand material and moral compensation. The pecuniary compensation to be requested due to unlawful termination may be requested if it exceeds the notice indemnity, and the excess amount must be proven here. For example: If the employer prevents the worker from finding a new job, then it can be requested. If the unlawful termination has violated the personality rights of one of the parties and damaged his professional reputation and honor, non-pecuniary damages may also be claimed. For example; In the event that the employee is first humiliated by the employer and then the contract is terminated, he/she may also request non-pecuniary damages from the employer.

Bad Faith Compensation

In the abuse of the right to terminate the employment contract, the criterion of violation of objective goodwill (honesty) rules is applied. The employer may use the right to terminate the employment contract for reasons such as economic, financial and technical requirements of the business or the workplace, or for reasons arising from the inadequacy and behavior of the worker, which hinders the operation of the workplace, disturbs the harmony and peace in the workplace, although it is not as severe as the termination for just cause. In this case, the right of termination is not considered abused. In the event that the worker’s contract is terminated in order to prevent him from gaining some rights within the legal period, it is considered that there is no objective condition.In addition, if the contract is terminated in case of demanding a fee or benefit that it deserves, it is considered to be a violation of the rules of honesty.

The above can be given as an example to claim compensation for bad faith. The party that does not comply with the notification requirement has to pay compensation in the amount of the fee for the notification period. In cases where the contract of the worker, who is subject to labor law and does not have job security, is terminated by misuse, compensation is paid to the worker in the amount of three times the notification period. In that case, we can say that workers with job security cannot claim compensation for bad faith. In case of non-compliance with the notification requirement, the employer will pay both bad faith compensation and notice compensation.

Employees who are not subject to job security can file a reemployment lawsuit and a trade union compensation lawsuit on the grounds that their contract is terminated on the basis of trade union reasons. Since these workers will demand union compensation, they cannot demand compensation for bad faith. In case of termination of the contract by the worker, the employer will not be able to claim bad faith compensation. It can claim compensation according to the general provisions.

Union Compensation

If the contract of the worker is terminated due to union membership or union activity, union compensation will be in question. It entitles workers who are not subject to job security to file a reemployment lawsuit and to receive union compensation, not less than 1 year’s wage. The fact that a reemployment lawsuit has not been filed does not preclude claiming union compensation. Whether or not the employer starts the job, if compensation is awarded for union reasons, this compensation has to be paid. The termination of the employment contract is not necessary for the workers to claim union compensation. In case of discrimination due to union, the worker will not be able to claim the compensation for discrimination specified in Article 5 of the Labor Law, since he/she may demand union compensation.

CategoryLegal Advice
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