Employment Contract Termination: Rights and Causes

Leave of Absence for Family Care

Leave of absence for family care will not last more than 2 years to care for a family member up to the second degree of consanguinity or affinity.

Termination of Employment Contracts

The termination of an employment contract is the end of the employment relationship between the company and the worker. When the contract is terminated, the employer must provide the employee with the payment of the amounts in a document known as a settlement.

The termination of the contract can be for different reasons:

Termination by Mutual Agreement

When both parties decide to terminate the contract, the employee is not entitled to severance pay or unemployment benefits.

Termination at the End of a Fixed-Term Contract

The contract ends at the end of the work or service, and the employee is entitled to a severance payment of 8 days per year worked.

Termination by the Will of the Worker

Working people are free to terminate the contract on their own initiative in the following cases:

• Resignation

  The employee is not entitled to severance pay.

• Abandonment

  The individual worker does not communicate their decision to the employer, which can create damage to the company and may be rejected by the employer.

Termination for Just Cause

The worker requests the termination because the employer breaches the contract, for example, modification of the terms of work, unpaid work, or continued delays in the payment of wages. The worker is entitled to severance pay of 45 days per year worked, with a monthly limit of 42.

Other Causes

In cases of retirement or death, the worker shall be entitled to severance pay equivalent to one month's salary.

Leave of Absence for Family Care

Leave of absence for family care will not last more than 2 years to care for a family member up to the second degree of consanguinity or affinity.

Termination of Employment Contracts

The termination of an employment contract is the end of the employment relationship between the company and the worker. When the contract is terminated, the employer must provide the employee with the payment of the amounts in a document known as a settlement.

The termination of the contract can be for different reasons:

Termination by Mutual Agreement

When both parties decide to terminate the contract, the employee is not entitled to severance pay or unemployment benefits.

Termination at the End of a Fixed-Term Contract

The contract ends at the end of the work or service, and the employee is entitled to a severance payment of 8 days per year worked.

Termination by the Will of the Worker

Working people are free to terminate the contract on their own initiative in the following cases:

• Resignation

  The employee is not entitled to severance pay.

• Abandonment

  The individual worker does not communicate their decision to the employer, which can create damage to the company and may be rejected by the employer.

Termination for Just Cause

The worker requests the termination because the employer breaches the contract, for example, modification of the terms of work, unpaid work, or continued delays in the payment of wages. The worker is entitled to severance pay of 45 days per year worked, with a monthly limit of 42.

Other Causes

In cases of retirement or death, the worker shall be entitled to severance pay equivalent to one month's salary.