The new Labour Law entered into force on January 1, 2023, and regulates labour relations in the Republic of Croatia, unless otherwise determined by another law or international agreement concluded and confirmed by the Constitution of the Republic of Croatia.
The employment relationship comes with various obligations that apply to both the employer and the employee. These obligations include complying with legal provisions, international agreements, regulations, collective agreements, and labour regulations relevant to the employment relationship.
In today’s article, BD Group deals with the issue of the employee’s notice period according to the new Labour Law.
Employment Termination
The employer can cancel the employment contract with the prescribed or agreed notice period if he has a valid reason for doing so:
- If the need to perform some labour ceases due to economic, technological or organizational reasons (business-related dismissal),
- If the employee cannot regularly fulfil his obligations from the employment relationship due to some permanent characteristics or abilities (personally conditioned dismissal),
- If the employee violates the obligations of the employment relationship (dismissal due to hidden behaviour of the employee),
- If the employee isn’t satisfied with the probationary period (dismissal due to dissatisfaction with the probationary period).
Notice period
The notice period starts from the day of termination delivery of the employment contract. An exceptional case is the notice period of an employee who is temporarily unable to work at the time of delivery of the decision on dismissal. In this case, the notice period starts when his temporary incapacity for work ends.
The notice period is not counted or calculated during the following instances:
- Pregnancy,
- Use of maternity, parental, adoptive and paternity leave or leave which in terms of content and method of use is identical to the right to paternity leave, half-time work, half-time work for increased child care, leave of a pregnant worker, leave of a woman worker who has given birth or who are nursing a child and take leave or work half-time to care for a child with severe developmental disabilities under the regulation on maternity and parental benefits,
- Temporary incapacity for work during treatment or recovery from a work injury or occupational disease,
- Duty performing and rights of citizens in defence.
The notice period begins and runs during the following circumstances:
- In case of termination of the employee’s employment contract during the implementation of the liquidation procedure and the procedure for the termination of the company by the abbreviated process without liquidation by the regulation on companies,
- During the period of temporary incapacity for work of an employee for whom the employer cancelled the employment contract before the beginning of that period and, with that decision, released the employee from the obligation to work during the notice period unless otherwise regulated by the collective agreement, labour regulations or employment contract,
- During annual leave and paid leave.
The minimum duration of the notice period
In case of regular cancellation, the notice period lasts at least:
- Two weeks, if the employee has spent less than one year continuously in employment with the same employer,
- One month, if the employee has spent a continuous year at the same employer,
- One month and two weeks, if the employee has spent two years continually at the same employer,
- Two months, if the employee spent five years continually at the same employer,
- Two months and two weeks, if the employee has spent ten years continually at the same employer,
- Three months if the employee has spent twenty years at the same employer.
The right to absence
According to the new Labour Law, during the notice period, the employee has the right to be absent from work for at least four hours a week with compensation to look for a new job. We emphasize that the employee on the notice period is still in the employment relationship and must comply with all rights and obligations until the notice period expires.