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Socially responsible restructuring
Effective strategies for supporting redundant workers
ANNEX D
Summary of collective redundancy terms and
conditions for selected Member States
Bulgaria
Definitions Notification Consultation Statutory payments
While there is no specific The regular period of notice for Consultation between the The minimum severance pay
definition of a collective employees is 30 days employer and employee for those being made
redundancy, the causes irrespective of length of service representatives must take redundant is one month’s
are explicitly set out in the but this may be extended place at least 45 days prior gross salary, though
relevant legislation and though collective agreements. to the redundancies taking employers (through
must be conveyed to the The redundancies cannot be place and are intended to agreements or otherwise)
employee facing loss of started for at least 30 days seek ways of avoiding or can augment this sum. Any
job. after their notification to the reducing the job losses or, unused leave also has to be
PES. failing this, to work out a plan compensated for.
to help those being made
redundant. The process will
also involve the services of
the PES.
Denmark
Definitions Notification Consultation Statutory payments
There is a Collective The employer must by law When redundancies are The Collective Dismissals
Dismissals Act that inform and consult on announced, it is a Act does not make provision
provides for redundancies collective redundancies in the requirement that for redundancy payments.
of 10 or more employees following circumstances: negotiations take place However, a salaried
at any one time. Companies employing 20-99 between the company and employee has a right to
that plan to make at least 10 the employees or their receive one, two or three
employees redundant within 30 representatives as early as month’s salary where they
days; possible to try and see if the have been employed by the
Companies employing 100-299 job losses can be avoided or company for 12, 15 and 18
that plan to make at least 10% reduced. At this stage the years respectively, though
of employees redundant within company must disclose full this requirement may be
30 days; written details of the reasons waived where the employee
Companies employing 300 or for the redundancies, those is entitled to a pension. For
more that plan to make at least likely to be affected and non-salaried workers, any
30 employees redundant within payment terms, etc. entitlement to redundancy
30 days. pay is likely to be set out in
The Labour Market Council collective agreements.
has to be informed so that
support measures can be
instigated.
Germany
Definitions Notification Consultation Statutory payments
The general law applying The relevant legislation Works councils must be The social plan developed
to dismissals is relevant requires employers to notify given full information on the for the particular redundancy
in all establishments with the PES within 30 days prior to reasons, selection process situation will determine
more than 10 employees. any redundancies taking place and terms of the job losses. severance payments which
However, collective in the following circumstances: They are required to are normally based on a
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