Everything You Need to Know About Summary Dismissal

Occasionally, employment relationships end, either through resignation or dismissal by the employer. Dismissal is a drastic action where the employee must leave the job immediately, which can cause significant financial problems for the employee. But what exactly distinguishes dismissal from resignation, and when can an employer dismiss an employee? Let's delve deeper into this topic.

Resignation vs Dismissal: What is the Difference?

Usually, an employment relationship ends when the employer or the employee themselves resigns. In such cases, the employee has the right to work and receive pay during the notice period, which must be at least one month.

Dismissal is different. With dismissal, the employment relationship ends immediately, and the employee no longer has the right to work or receive pay from the moment the dismissal is communicated. This means the employee loses income immediately.

What Can Lead to Dismissal?

For a dismissal to be valid, the employee must have committed a serious breach of their duties or substantially violated the employment contract. Some common situations that may warrant dismissal include:

• Disloyalty and refusal to follow orders

• Harassment

• Unauthorised absence

• Theft or embezzlement

• Inappropriate behaviour or substance abuse

Nevertheless, dismissal is reserved for the most serious cases. It is only when these conditions are particularly severe that the employment relationship can be terminated by dismissal.

Before dismissal is communicated, the employer should assess how critical it is that the employee leaves immediately. If there is a high likelihood that the employee will continue to violate rules during the notice period, and this poses a danger, dismissal may be appropriate. This may include cases such as sexual harassment, violence against employees or customers, or theft against the employer.

How Should One Proceed?

The Working Environment Act sets strict procedural requirements for both resignation and dismissal. The employer must, among other things, hold a meeting with the employee and their representative before a decision is made about resignation or dismissal. In this meeting, the employee can comment and dispute the claims that the resignation or dismissal may be based on.

Dismissal must be in writing and delivered in person to the employee or sent by registered mail. This follows the same procedures as resignation.

Important Points to Note:

• There is no need for oral or written warnings to have a valid basis for dismissal.

• If the employee requests it, the employer must provide the circumstances that are the reason for the dismissal. This information can also be required in writing.

• In a written statement, the employer can indicate that the employee has been dismissed.

• As a general rule, an employee does not have the right to continue in the position while a possible dispute is being handled by the court.

If you are unsure about the process, it is recommended to seek legal assistance. At Sterk Law Firm, we are experts in employment law and frequently assist employers in resignation processes. Please feel free to contact us for more information.

Further reading: Dismissal in Employment Relationships – Conditions, Process, and Case Law and Dismissal vs Notice of Termination - What is the Difference?.