Consultation on workforce reduction in Georgia is not merely good practice — it is mandatory, and its content and form are defined by Articles 49 and 71 of the Labour Code, while the ground for the reduction itself is created by Article 47. Foreign case law on collective-redundancy consultations does not operate directly in the Georgian system — the exact extent of the duties is determined solely by the Georgian Labour Code.
When a mass dismissal begins and the consultation duty arises
Under Article 49 of the Code a mass dismissal is the termination by the employer of employment contracts within 30 calendar days on a ground not conditioned by the personality or conduct of the employees or by the expiry of the contracts: with at least 10 employees — in an organisation employing more than 20 but fewer than 100; and with at least 10 percent of the employees — in an organisation employing more than 100. Where the employer plans a mass dismissal, it is obliged to begin consultations within a reasonable period with the association of employees — or, in its absence, with employee representatives — with the intention of reaching a possible agreement. The consultations must, at a minimum, cover the ways and means of avoiding the mass dismissal or reducing the number of employees to be dismissed, and the possibilities of supporting the re-employment or retraining of the dismissed employees.
The written notice and the mandatory information
The form of the procedure is strictly fixed: the employer is obliged to send a written notice to the Minister and to the employees whose contracts will be terminated no less than 45 calendar days before the mass dismissal; a copy of the notice sent to the Minister is forwarded to the association of employees or to the representatives. The mass dismissal enters into force after 45 calendar days from the dispatch of the notice to the Minister. The employees must be given the opportunity to submit constructive proposals, and the employer is obliged to notify the association or the representatives in writing of the following information: the reasons for the planned mass dismissal, the number and categories of employees to be dismissed, the total number and categories of employees in the organisation, the period within which the dismissal will be carried out, the criteria for selecting the employees to be dismissed and the payment of compensation to them. A copy of the notification concerning this information is also sent to the Minister.
The general information and consultation procedure
Article 71 of the Code creates the general framework of consultation: the employer is obliged to provide employee representatives with information and to hold consultations on the activity and economic situation of the enterprise, on the state of employment and planned measures that may substantially affect remuneration and working conditions. The information must be supplied within a reasonable period, but no later than 30 days before the day on which the employer takes a decision that may affect the interests of the employees, in writing and with content that gives the representatives sufficient time to study the matter and prepare. The consultation must be held through meetings between the director and the representatives, with adequate duration and frequency.
The ground for the reduction
Under the first part of Article 47 of the Code a ground for termination of an employment contract is economic circumstances, technological or organisational changes that necessitate a reduction of the workforce. It is precisely this ground that the consultation must establish and justify in a documented manner: the information on reasons that the employer supplies to the representatives is the disclosure of this ground. A reduction without a ground — dismissal on a basis absent from the exhaustive list — is inadmissible under the Code.
When planning a reorganisation the consultation trajectory is built on a time axis: first the fact of economic, technological or organisational change and the necessity of reducing the workforce are fixed; then the thresholds are computed — at least 10 employees or 10 percent within the 30-calendar-day window; then the consultations with the association or the representatives begin; and finally the written notice is dispatched to the Minister and the employees no less than 45 calendar days in advance. The documentary trace of each stage — dated data, correspondence, minutes of meetings — becomes the principal evidence of the legality of the procedure.
Frequently asked questions
Below are the questions most frequently raised about redundancy consultations.
When is a dismissal a mass dismissal?
Within 30 calendar days with at least 10 employees (in an organisation of more than 20 but fewer than 100) or with at least 10 percent (where more than 100), where the ground rests not on personality or expiry.
With whom is the consultation held?
With the association of employees or, in its absence, with employee representatives.
How far in advance is the notice given?
A written notice is sent to the Minister and to the affected employees no less than 45 calendar days in advance; the dismissal enters into force after 45 calendar days from the notice.
What information is mandatory?
The reasons, the numbers and categories of those to be dismissed, the total numbers and categories, the time period, the selection criteria and the compensation.
How We Help on Legal.ge
The specialists of Legal.ge assist in planning and conducting the consultation process of a reorganisation in accordance with Articles 49, 71 and 47 of the Labour Code: we establish the fact of a mass dismissal, prepare the mandatory information package and the notice to the Minister and conduct the consultations with the representatives. Submit a request on this page — let us plan the legal trajectory of your reorganisation.