Employment & labour law in Angola

Miranda & Associados

Country snapshot

Key considerations Which issues would you most highlight to someone new to your
country? Angola is one of the main oil producers in sub-Saharan Africa. When the
civil war ended in 2002, the national economy grew very quickly, driven mainly by
the development of the oil and gas and mining industries. However, the Angolan
economy has become much more diversified, and as a result the recent decrease in the
international crude oil price has not interfered with the country’s economic growth.

The country’s public institutions can generally deal with all issues. The labour
authorities are particularly active in enforcing the complex administrative and
reporting duties established by national employment laws.

What do you consider unique to those doing business in your country? Angola has
numerous regulations governing all aspects of the employment relationship.

The most relevant regulation is the ‘Angolanisation’ principle, or the 70/30 rule.
Under this principle, at least 70% of the workforce at a company that employs more
than five workers must be Angolan nationals and only 30% may be foreign non-
resident (ie, expatriate) individuals.

Angolan employment law sets out two categories of employee:

national and foreign resident employees; and

foreign non-resident or expatriate employees, who are subject to complex
immigration restrictions and specific recruitment and hiring rules.
There are also regulations dealing with mandatory allowances and specific social
security benefits (eg, the family allowance) which must be paid by employers in lieu
of the social security system.

The new General Labour Law (7/15), which comes into force on September 15 2015,
uses the concept of micro, small, medium and large companies to differentiate the
legal rules applicable to various aspects of the employment relationship.

Is there any general advice you would give in the employment area? Angolan
employment law offers excellent protection to employees. Termination is subject to
strict rules and an employee can be dismissed based only on either serious
infringement by the employee or an objective and economic reason that is not the
fault of the employer and renders it impossible for the employment relationship to
continue. Thus, employment litigation is common, as employees enjoy a broad set of
rights.

In addition, a company’s human resources department must fulfil many administrative

and reporting duties; failure to do so exposes the company to fines.

Emerging issues/hot topics/proposals for reform Are there any noteworthy proposals
for reform in your jurisdiction? The new General Labour Law (7/15) was recently
enacted, repealing the former General Labour Law (2/00). The new law comes into
force on September 15 2015 and sets out substantially different rules regarding the
key aspects of the employment relationship.

What are the emerging trends in employment law in your jurisdiction? The General
Labour Law uses the concept of micro, small, medium and large companies to
differentiate the legal rules applicable to various aspects of the employment
relationship. The law states that micro, small and medium companies are subject to
more flexible work rules and more efficient and cost-effective work standards. For
example, micro, small and medium companies may enter into fixed-term employment
contracts with a maximum duration of 10 years, unlike large companies, which can
enter into contracts of up to five years only.

The new law is also designed to reduce certain labour costs (eg, overtime premiums)
and compensation in case of termination.

The employment relationship

Country specific laws What laws and regulations govern the employment
relationship? At present, the General Labour Law (2/00) is the main statute that
governs all aspects of the employment relationship. On September 15 2015 it will be
replaced by the new General Labour Law (7/15). There is also other derivative
legislation on various lateral aspects of the employment relationship.

The recruitment and hiring of foreign non-resident (expatriate) employees is subject

to the following specific legislation:

Decree 5/95;
the Regulations on the Exercise of Professional Activities by Foreign Non-resident
Employees (Decree 6/01);
the Visa Law (2/07); and
the Visa Law Regulations (Presidential Decree 108/11).
Collective labour law is governed by the following statutes:

the Trade Union Law (21-C/92);

the Law on the Right to Collective Bargaining (20-A/92); and
the Strike Law (23/91).
Who do these cover, including categories of worker? The General Labour Law (2/00)
applies to all categories of worker. Both the General Labour Law and the new General
Labour Law (7/15) exclude from the scope of application the following categories of
worker:

employees hired on a permanent basis by the diplomatic or consular representatives of

other countries, or at the service of international organisations, who perform their
activities within the scope of the Vienna Convention;
members of cooperatives and non-governmental organisations whose employment is
regulated by the organisation’s articles of association or, if there are none, by the
Commercial Law;
family employees;
occasional workers;
consultants and members of the administration or directorship bodies of companies or
social organisations provided that they carry out only tasks that are inherent to such
positions without any subordination pursuant to an employment contract; and
public servants or employees performing their professional activity within the public,
central or local administration, in a public institution or in another government
agency.
Foreign non-resident (expatriate) employees are subject to specific statutes; however,
the General Labour Law applies to them on a complementary basis.

Misclassification Are there specific rules regarding employee/contractor

classification? Yes. Article 3.3 of the new General Labour Law (7/15) defines an
‘employment contract’ as “a contract whereby an employee undertakes to make
available his professional activity to an employer’s benefit, within its relevant
organization and under its guidance and authority, in consideration for remuneration”.
The definition of ‘employee’ is set out in Article 3.27 of the same law: “Any natural
person, national or foreign resident, who freely undertakes to make his professional
activity available to an employer, in consideration for remuneration, within the
employer’s organization and under its authority and guidance.”

Under Article 1154 of the Civil Code, a ‘services agreement’ is the “agreement
whereby one of the parties undertakes to make available the result of his/her
intellectual or manual work, with or without pay”.

Contracts Must an employment contract be in writing? No. However, certain specific

types of employment contract (eg, fixed-term employment contracts and training
contracts) must be in writing.

Are any terms implied into employment contracts? Yes. For example, employment
contracts for an unlimited term are always subject to an implied probation period of
60 days.
Are mandatory arbitration/dispute resolution agreements enforceable? Under the
General Labour Law (2/00), all labour disputes fall under the sole jurisdiction of the
provincial labour courts. Any agreements providing for alternative means of dispute
resolution are invalid and unenforceable.

Once the new General Labour Law (7/15) comes into force on September 15 2015,
agreements to arbitrate will be valid and enforceable. However, all arbitration
proceedings will be subject to the procedural rules set out by the law. Conciliation and
mediation proceedings will also be possible before the General Inspectorate of Labour
Services and the Public Attorney’s Office.

How can employers make changes to existing employment agreements? In general,

employers may make unilateral amendments to existing employment agreements if
this prerogative has not been expressly excluded by the employment contract or a
legal provision. The new General Labour Law (7/15) grants employers broader
prerogatives to vary certain aspects of the employment relationship unilaterally (eg,
workplace and working hours).

Foreign workers Is a distinction drawn between local and foreign workers? Yes.
National and foreign resident employees (ie, foreign citizens holding a residency
permit) are subject to the same rules on recruitment, hiring and termination as set out
by the General Labour Law (2/00). Foreign non-resident employees (ie, foreign
citizens holding a work visa) may be hired only on a fixed-term basis (ranging from
three to 36 months) and are subject to recruitment and hiring requirements, plus
specific immigration restrictions.

Recruitment

Advertising What are the requirements relating to advertising positions? All jobs must
be advertised under non-discriminatory terms. The advertisement should set out the
basic terms and conditions for recruitment and hiring – for example, the type of
employment contract, the workplace and the work schedule (ie, full time or part time).
All job offers must be referred to the employment centre with jurisdiction over the
employer’s location.

If the job offer is included in the process of hiring a foreign non-resident, the offer
must also be referred to the competent employment centre and advertised in the
media. In this case, it is essential that the offer make a detailed description of the
required and applicable skills, educational and professional qualifications and
certifications, in order to demonstrate to the employment centre that no Angolan
nationals were suitable for the job, in case the employer fails to appoint someone.

Background checks What can employers do with regard to background checks and
inquiries in relation to the following:
(a) Criminal records? The employer may request the employee to present a copy of
his or her up-to-date criminal record if the position requires the employee’s record to
be pre-screened.

(b) Medical history? Employers are required to request employees to present copies of
their vaccination cards to confirm compliance with the national vaccination
programme.

Further, the employer may submit employees to pre-employment medical

examinations and regular medical examinations. The employer is free to define the
medical and physical requirements for the performance of a job and the examinations
needed to assess employees’ fitness. In this context, the employer may require
employees to present information on their medical history to the medical professional
carrying out the examinations and testing. The employer must have access to the
medical certificate confirming the employee’s fitness or unfitness for work, which
must be available for audit by the General Inspectorate of Labour.

In general, testing for HIV and AIDS and related medical history is not allowed. If
permitted, it must be based on exceptional reasons of public safety in relation to the
specific job and be authorised previously and supervised by the labour and medical
authorities.

(c) Drug screening? In general, drug screening is allowed in the context of pre-
employment and regular medical examinations. Invasive testing (eg, blood tests) is
subject to particular requirements.

(d) Credit checks? An employer may ask employees to declare their credit status
during the recruitment process and on a regular basis for positions which require a
positive credit status. In general, credit checks with third-party authorities, banks and
other credit institutions are not allowed, as this is considered to be privileged and
confidential personal information.

(e) Immigration status? An employer is required to confirm the nationality and

immigration status of all employees.

(f) Social media? An employer may look into employees’ social media use if the
employees agree, in line with the Angolan data protection laws and the site rules.

(g) Other? Other background checks and enquiries must be based on the need of the
employer to confirm an employee’s suitability for the job. The employer must adhere
to non-discriminatory principles and ensure that the employee’s personal information
is processed under the applicable data protection laws.
Wages and working time

Pay Is there a national minimum wage and, if so, what is it? Yes. The national
minimum wage is set according to industry sector. Presidential Decree 144/14 (June 9
2013) established the following values for the national minimum wage:

commerce and mining – Kz22,504.50 (approximately $230);

transport, services and manufacturing – Kz18,754 (approximately $190); and
agriculture – Kz15,003 (approximately $160).
Are there restrictions on working hours? The maximum normal working hours are 44
hours a week and eight hours a day, Monday to half-day Saturday. The weekly limit
may be extended to 54 hours for shift, modular or variable working hours where a
recovery timetable applies, the work is intermittent or the employee's mere presence is
required.

The daily work limits may also be extended:

to nine hours a day when the work is intermittent or requires the mere presence of the
employee, and the employer concentrates the working week in five consecutive days;
to 10 hours a day when the work is intermittent or requires the mere presence of the
employee and the employer adopts shift, modular or variable working hours, or where
a recovery timetable applies; and
to 12 hours a day for rotational work timetables of up to four weeks of consecutive
work followed by an equal period of rest.
Working hours exceeding these limits are deemed to be overtime.

Hours and overtime What are the requirements for meal and rest breaks? Under the
General Labour Law (2/00), all employees are entitled to a break of between one and
two hours on each working day, so that they do not work for more than five
consecutive hours. On the employer’s request, the General Inspectorate of Labour
may authorise the daily break to be reduced to 30 minutes for operational reasons. The
daily break may also be removed in exceptional circumstances (assessed on a case-by-
case basis), on prior consultation with the employees’ representative body and
authorisation of the General Inspectorate of Labour.

Pursuant to the new General Labour Law (7/15), as of September 15 2015 employees
will be entitled to a break of between 45 and 90 minutes each working day.

How should overtime be calculated? The General Labour Law (2/00) provides that
work performed outside the normal daily work period – whether before or after the
working day, during rest or meal breaks or on the weekly non-working days – is
deemed to be overtime. Further, the following limits apply to overtime:

two hours for each day of work;

40 hours for each month of work; and
200 hours annually.
Overtime carried out on regular working days and Saturdays entitles employees to the
following compensation:

an additional 50% of the employee’s hourly salary, up to the limit of 30 hours’

overtime per month; and
an additional 75% of the employee’s hourly salary for overtime exceeding the 30-hour
monthly limit.
Under the new General Labour Law (7/15), micro, small and medium-sized
companies will be subject to reduced overtime premiums.

Overtime carried out on Sundays and public holidays entitles employees to the
following:

an additional 100% of the employee’s hourly salary, with minimum compensation of

three hours of overtime work at this rate; and
the right to a compensatory rest period to be taken during the following week, with a
duration equal to a half-day of work if the employee carries out less than four hours of
overtime or a full day of work if the employee carried out four or more hours of
overtime. The compensatory rest period for overtime work rendered on a public
holiday should be taken in the three working days following the holiday.
Overtime premiums are set based on the employee’s hourly salary and calculated as
follows: (monthly base salary x 12) : (52 x weekly work schedule).

The compensation for overtime is calculated by applying the relevant percentage on

top of the applicable hourly salary rate.

What exemptions are there from overtime? Under the General Labour Law (2/00), all
personnel at all levels are eligible for overtime. An employee may be partially
excluded from overtime only under the exemption from a fixed work schedule. The
exemption from a fixed work schedule applies only to the following employees:

Employees in managerial positions are by definition, and without requiring

authorisation from the General Inspectorate of Labour, exempt from a fixed work
schedule and are not subject to the maximum daily and weekly work limits. However,
work rendered on Sundays, public holidays and the weekly half-day of rest (generally
Saturday afternoon) qualifies as overtime and entitles employees to the related
compensation. These employees are not entitled to any additional allowance in
consideration for their exemption from a fixed work schedule. The new General
Labour Law (7/15) widens the scope of this type of exemption to all management,
leadership, advisory and supervisory positions.
Employees who perform confidential or inspection duties for the employer, as well as
employees who regularly perform work outside of a fixed work location and whose
work is not subject to close supervision and control, may also be exempt from a fixed
work schedule. This exemption depends on the employer requesting authorisation
from the General Inspectorate of Labour. Under the new General Labour Law, such
authorisation will no longer be required. Work rendered on Sundays, public holidays
and the weekly half-day of rest (generally Saturday afternoon) qualifies as overtime.
These employees cannot work more than 10 hours a day and are always entitled to a
daily break of one hour. Under Article 110 of the General Labour Law, they are
entitled to specific compensation of at least one hour of overtime work a day.
Is there a minimum paid holiday entitlement? Yes. Under the General Labour Law
(2/00), employees are entitled to 22 days of paid holiday a year.

When an employee starts a new job, the holiday allowance for the first year of
employment corresponds to two working days for each month of work, with a
minimum of six working days, which matures on July 1 for employees hired in the
first semester and on January 1 of the following year for employees hired in the
second semester. Under the new General Labour Law (7/15), the right to holiday in
the year of starting work matures on January 1 of the following year and holiday can
be taken only once the employee has worked for six months.

What are the rules applicable to final pay and deductions from wages? The salaries
paid to employees in Angola are subject to two legal deductions: income-related tax
(IRT) and social security contributions.

The IRT rates are progressive depending on the salary amount, with the highest rate
being 17%.

Social security contributions are shared between the employer (8%) and the employee
(3%), amounting to a total contribution of 11%. Employers pay their contributions by
applying the 8% rate on top of employees’ base salaries and the remaining relevant
allowances, and must deduct employees’ 3% contribution from their monthly
remuneration and remit the total contribution to the Social Security National Institute
by the 10th day of the following month. Expatriate employees need not pay Angolan
social security contributions if they can prove to the local social security authority that
they are covered by the system of their home country.

Record keeping What payroll and payment records must be maintained? Employers
must keep records of the payroll list or the relevant payslips. Tax and social security
payment forms must also be kept on file.

Discrimination, harassment & family leave

What is the position in relation to: Protected categories

(a) Age? The minimum working age is 14 years. The General Labour Law (2/00)
provides that an employer may enter into an employment relationship with a minor
aged between 14 and 18, provided that authorisation is obtained from the parent, legal
guardian, person or institution in charge of the minor or, in their absence, from the
General Inspectorate of Labour or other appropriate entity.

Employees aged between 14 and 18 benefit from additional protection regarding:

the type of work they may carry out;

the medical examinations to which they are subject;
their work schedule (no more than 34 hours a week);
overtime; and
termination (intervention by the General Inspectorate of Labour is required).
(b) Race Angolan law sets down the general principle of equality of rights between
employees regardless of their race and therefore prohibits discrimination based on
race.

(c) Disability? Employees who are disabled (with reduced working capacity) enjoy
additional protection regarding:

the type of work they may carry out;

their work schedule (ideally part time);
overtime; and
termination.
(d) Gender? Angolan law sets down the general principle of equality of rights between
employees regardless of their gender and therefore prohibits discrimination based on
gender.

(e) Sexual orientation? Angolan law sets down the general principle of equality of
rights between employees regardless of their sexual orientation and therefore prohibits
discrimination based on sexual orientation.

(f) Religion? Angolan law sets down the general principle of equality of rights
between employees regardless of their religion and therefore prohibits discrimination
based on religion.

(g) Medical? Angolan law sets down the general principle of equality of rights
between employees regardless of medical conditions and therefore prohibits
discrimination based on medical conditions.

Disabled employees are entitled to particular protection in terms of overtime and

termination.

(h) Other? In regard to employees with HIV/AIDS, the employer must implement
specific regulations. It must set up education and awareness programmes on
HIV/AIDS involving the families of employees and trainees. Further, employers
cannot:

conduct HIV tests at the workplace (except when requested by the employee) as a
prerequisite for hiring;
discriminate against HIV-positive employees in the workplace; or
use HIV-positive status as a factor in dismissals or promotions.
Family and medical leave What is the position in relation to family and medical
leave? Under the General Labour Law (2/00), employees are entitled to be absent
from work due to illness, without limitation, provided that such absence is
documented and justified by means of a medical certificate.

Provided that a medical certificate is supplied, an employee is entitled to

remuneration for the period of absence, paid in the form of sick leave by the employer
or the local social security authority (in the case of natural illness), or the insurer (in
the case of occupational disease) under the mandatory work compensation insurance
policy.

Regarding family leave, employees are entitled to three days of leave a month (up to a
maximum of 12 working days a year) to provide urgent assistance to members of the
employee’s household, spouse, parents, grandparents, children over 10 years of age or
relatives of the same lineal degree.

Valid absences from work due to illness or family assistance cannot affect the
employee’s position or be deducted from the employee’s annual holiday allowance.

Under the new General Labour Law (7/15), in medium and large companies the base
salary of employees on medical leave will be fully paid by the employer for the first
two months of absence. From the third month to the 12th month of absence, the
employer must pay the employee 50% of the base salary until the relevant social
protection entity takes over.

An employee is entitled to paid family leave of up to eight days a year.

Harassment What is the position in relation to harassment? Neither the General

Labour Law (2/00) nor the new General Labour Law (7/15) makes specific provision
to prevent harassment. However, under the General Labour Law, both parties to the
employment relationship (ie, the employer and the employee) have the duty to treat
each other with respect and loyalty.

Whistleblowing What is the position in relation to whistleblowing? The law makes no

specific provision in regard to whistleblowing.

Privacy in the workplace

Privacy and monitoring What are employees’ rights with regard to privacy and
monitoring? The employment law makes no specific provision in regard to privacy
and monitoring. However, the Constitution provides that “private means of
communications” (including emails) cannot be breached without a judicial order to
that effect. Under Angolan law, although a company may own a laptop or email
account, it is not the owner of private messages sent to a specific employee. Pursuant
to both the General Labour Law (2/00) and the new General Labour Law (7/15), the
employee has the right to be treated with consideration and respect. It is commonly
accepted that this includes respect for his or her private life and personal
communications (even if those communications are received through tools provided
by the employer).

To what extent can employers regulate off-duty conduct? Employers may regulate off-
duty conduct to the extent that it has a detrimental impact on the employment
relationship.

Are there rules protecting social media passwords in the employment context and/or
on employer monitoring of employee social media accounts? No rules specifically
address the protection of employees’ social media passwords or the monitoring of
employees’ social media accounts. Nevertheless, general principles such as the
constitutional right to privacy, dignity and integrity do not allow the employer to
intrude into employees’ social media accounts without authorisation. The employee’s
consent may be deemed null and void in the context of an employment relationship.

Trade secrets and restrictive covenants

Intellectual Property Who owns IP rights created by employees during the course of
their employment? The law provides for a coexisting set of rights over intellectual
creations protected by copyright:

moral rights (ie, the right of paternity and the right to be mentioned on the work),
which according to the law belong in a permanent and inalienable way to the natural
person who created the work; and
economic rights (ie, the right to market and exploit a work and use it in any way),
which may be transferred, in whole or in part, by means of an agreement between the
author and any third parties.
Copyright belongs to the employer only to the extent that this does not comprise
moral rights, as these remain with the author (ie, the employee).

In relation to industrial property rights (ie, patents, utility models and industrial
designs), the right to apply for a patent for an invention made under a contract belongs
to the employer. However:
the application to register the patent must be filed in Angola;
the employer must file a declaration supporting its right; and
the inventor/employee must be identified on the patent registration form.
The right to apply for a patent for an invention created in the course of an
employment contract belongs exclusively to the employee if the invention was
developed with the employee’s own equipment, materials or means.

If both the employer and the employee have contributed to the invention equally,
unless agreed otherwise between the parties, they will both own the invention. In this
case the employer has the right to use/develop the invention and the employee has the
right to remuneration as agreed between the parties. However, the patent must be used
by the employer within one year of registration; otherwise, the employee will be
considered the sole owner of the patent.

Restrictive covenants What types of restrictive covenants are recognised and

enforceable? Both the General Labour Law (2/00) and the new General Labour Law
(7/15) address agreements between employers aimed at restricting the hiring of
employees. The laws provide that employers shall “not enter into or adhere to
agreements with other employers aiming at the limitation in the hiring of employees
who have rendered services to them, and not to hire, under penalty of incurring in
civil liability, employees still included in the personnel list of another employer,
whenever such hiring would result in unfair competition”.

Non-compete Are there any special rules on non-competes for particular classes of
employee? If the employee consents, it is possible to establish a non-compete
obligation for a period of up to three years following termination, provided that the
following requirements are met:

A non-compete clause is included in a written employment contract or an addendum

thereto.
The activity in question may cause real damage to the employer and is deemed unfair
competition.
The employee is paid compensation during the restricted period, and the amount of
compensation is stated in the contract or an addendum thereto. The compensation may
be reduced equitably if the employer incurred costs in training the employee.
At present, non-compete obligations apply only to work within 100 kilometres of the
location of the previous employment. This rule will cease to exist under the new
General Labour Law (7/15).

Discipline and grievance procedures

Procedures Are there specific laws on the procedures employers must follow with
regard to discipline and grievance procedures? Yes. Disciplinary procedures are
subject to the mandatory provisions set out in the General Labour Law (2/00) and new
General Labour Law (7/15). There are no specific laws regarding grievance
procedures.

Industrial relations

Unions and layoffs Is your country (or a particular area) known to be heavily
unionised? Except in the oil and gas, mining and banking sectors, there is generally a
low degree of employee unionisation. However, in these sectors unions are very
active.

What are the rules on trade union recognition? The Trade Union Law (21-C/92) sets
down no rules or procedures for union recognition by employers. As soon as a union
is incorporated and registered with the Ministry of Justice and has affiliated
employees, it may represent employees. The law sets out no minimum percentage of
employee representation.

What are the rules on collective bargaining? All employers and unions may enter into
collective bargaining agreements under the Law on the Right to Collective Bargaining
(20-A/92). Where there is no union representation, the employees may set up an ad
hoc commission aimed at negotiating and concluding a collective bargaining
agreement with the employer, subject to complex requirements.

If more than one union represents an employer’s employees, the unions must set up a
joint negotiation committee composed of representatives from each union in the same
proportion as the employees are represented.

The negotiation process for a collective bargaining agreement must be finalised within
90 days of the employer receiving the union/employees’ initial proposal. If this
process is unsuccessful, the Law on the Right to Collective Bargaining provides for
alternative dispute resolution mechanisms to resolve collective labour conflicts –
notably conciliation, mediation and arbitration. Unions/employees may call a strike if
the negotiations are deadlocked when the deadline for reaching an agreement passes.

A collective bargaining agreement requires all the parties to maintain social peace
while it is in force, rendering illegal any strike action or collective labour conflict
during that period. Once the effective period has elapsed, the agreement shall continue
to bind the parties until it is replaced by a new or amended collective bargaining
agreement.

Termination

Notice Are employers required to give notice of termination? In general, termination

by serving a notice period is not allowed. However, for fixed-term employment
contracts the employer must serve the employee with prior written notice of two
weeks before the contract expires.

Redundancies What are the rules that govern redundancy procedures? Under both the
General Labour Law (2/00) and the new General Labour Law (7/15), redundancy
occurs when the employer faces economic, technological or structural circumstances
that give rise to an internal reorganisation or conversion or the reduction or closure of
activities, which makes it necessary to eliminate or significantly alter jobs. The law
provides for two main types of redundancy procedure: collective dismissal and
individual redundancy.

Are there particular rules for collective redundancies/mass layoffs? Under the General
Labour Law (2/00), if the redundancy process will affect five or more employees and
the termination of the employment contracts will occur within three months, the
employer may proceed with a collective dismissal. Under the new General Labour
Law (7/15), a collective dismissal can take place if the redundancy procedure covers
more than 20 employees. Otherwise, the more flexible individual redundancy rules
shall apply.

A collective dismissal requires the employer to:

serve an initial redundancy notice on the union committee and the Ministry of Labour;
carry out a mandatory information and consultation process with all parties
concerned; and
serve a final collective termination notice on the employees.
The Ministry of Labour has supervisory powers over the process and the prerogative
to reject the collective dismissal process.

All cases of redundancy give the employee the right to a notice period of 30 days for
unskilled personnel and 60 days for skilled personnel (or payment of salary in lieu),
plus compensation of one month’s base salary per full year of service up to five years
of seniority and 50% of the monthly base salary per each additional year. Under the
new General Labour Law (7/15), micro, small and medium-sized companies may pay
reduced compensation to redundant employees.

Protections What protections do employees have on dismissal? Employees may bring

a case for reinstatement (which involves the payment of their salary while the legal
proceedings are pending) or compensation calculated pursuant to their monthly base
salary per full year of service, with a minimum of three monthly base salaries. The
claim for reinstatement must be filed within 180 days of termination; compensation
may be claimed within 12 months of the same date.

Courts/tribunals

Jurisdiction and procedure Which tribunals or courts have jurisdiction to hear

complaints? Labour complaints must be filed with the competent provincial labour
court. Under the new General Labour Law (7/15), after September 15 2015
employment disputes may be resolved through:

conciliation before the Public Attorney’s Office with the competent provincial labour
court;
mediation before the General Inspectorate of Labour; or
voluntary arbitration.
What is the procedure and typical timescale? As soon as the claim is filed with the
court by an employee, the employee and the employer are given notice to attend a
conciliation hearing with the purpose of reaching an agreement. If no agreement is
reached, the judicial phase begins. The timescale for completion of the procedure
varies on a case-by-case basis and also depends on the court´s workload. The average
timescale for a first-instance proceedings is two years.

Appeals What is the route for appeals? An appeal may be filed with the Court of
Appeals by either the employer or the employee in relation to an unfair dismissal
claim. A further appeal to the Supreme Court is possible, but is subject to complex
requirements.