Leaving a Job and the Final Settlement
The termination of an employment relationship is always completed by a final settlement: the employer is obliged to settle accounts with the employee no later than 7 calendar days from the termination of the relationship, unless the employment contract or the law provides otherwise. Where the employee leaves of their own will, they abandon the position on the basis of a written statement, and this formality is decisive: an oral agreement protects neither party later.
Grounds for Termination of the Employment Contract
The law defines an exhaustive list of grounds for termination of an employment contract, including: economic, technological or organisational changes that make a reduction of the workforce necessary; the expiry of the term of the contract; the completion of the work provided for by the contract; the employee leaving the position of their own will on the basis of a written statement; a written agreement of the parties; the non-conformity of qualifications or professional skills with the position or work performed; a gross breach of obligations; a breach of obligations where a measure of disciplinary liability has already been applied during the last 1 year; prolonged incapacity for work, where its duration exceeds 40 consecutive calendar days or the total duration within 6 months exceeds 60 calendar days; the entry into legal force of a court judgment excluding the possibility of performing the work; the death of a party or the commencement of liquidation proceedings of the employer as a legal person; and any other objective circumstance justifying termination. Termination on any other ground is impermissible, and termination on grounds of discrimination is excluded altogether. The law also prohibits termination during the protected period following the notification of pregnancy, during military or alternative labour service, and during service as a lay judge — except under the exceptional grounds defined by law, such as the expiry of the contract term or agreement of the parties.
The Written Notice Procedure and Its Time Limits
Where the employer terminates the contract on the grounds of workforce reduction, non-conformity of qualifications, prolonged incapacity for work or another objective circumstance, it must warn the employee at least 30 calendar days in advance by sending a prior written notice, and in that case the employee receives compensation of not less than 1 month's remuneration. On the same grounds the employer is entitled to warn the employee only 3 calendar days in advance, but then the compensation must be not less than 2 months' remuneration. Where the employee leaves of their own will, they must warn the employer at least 30 calendar days in advance by a prior written notice. When termination rests on the ground of another objective circumstance, the employer is obliged to substantiate that circumstance directly in the written notice.
Challenging the Decision and the Substantiation Duty
The employee is entitled, within 30 calendar days from receiving the notice of termination, to send the employer a written demand for a written substantiation of the ground of termination. The employer is obliged to substantiate the ground in writing within 7 calendar days from the submission of the demand. If the employer fails to do so within that period, the employee may challenge the decision before the court within 30 calendar days, and in that event the burden of proving the factual circumstances lies on the employer. The time limit for appealing runs again — 30 calendar days — from the receipt of the substantiation or from the expiry of the employer's deadline. Where the court declares the employer's decision void, the employer must reinstate the person at the previous workplace, provide equivalent work, or pay compensation in the amount determined by the court. In addition, the employee may demand remuneration for forced absence from the date of termination until the enforcement of the court decision, and the court takes into account the compensation already paid. Where the court refuses to accept the claim or leaves it unexamined, the employee may reapply with the same claim within 30 calendar days from delivery of the ruling.
What Employers and Employees Should Keep in Mind
For the employer, the principal risk is a breach of procedure: ignoring the notice period, the amount of compensation or the substantiation rules will most likely lose the case in court. For the employee, respecting the deadlines is decisive: demanding substantiation and applying to the court is possible only within 30 calendar days, and missing the deadline forfeits the right. Even when leaving of one's own will, the written form and the advance warning of 30 calendar days are mandatory; otherwise the employer may claim damages.
Frequently Asked Questions about Leaving a Job
When must the final settlement take place?
The employer must complete the final settlement no later than 7 calendar days from the termination of the employment relationship, unless the contract or the law provides otherwise. All payments due — remuneration, compensation for unused leave — fall within this deadline.
How much advance notice is required when leaving of one's own will?
The employee must warn the employer at least 30 calendar days in advance by a prior written notice. Leaving without notice may give the employer grounds to claim damages.
What compensation is due to a dismissed employee?
With a 30 calendar day notice — compensation of not less than 1 month's remuneration; with a 3 calendar day notice — not less than 2 months' remuneration. In the case of an unlawful dismissal, reinstatement, equivalent work or court-determined compensation, and additionally remuneration for forced absence, may follow.
How We Help on Legal.ge
The Legal.ge team will help you handle the legal paperwork of leaving a job: we will prepare the written statement or the notice, verify the calculation of the compensation and the final settlement, assess the lawfulness of a dismissal and, where necessary, prepare a statement of claim for the court. Contact us..