When they want to break off labor relations with ordinary workers, difficulties often arise. And the dismissal of the CEO is a special case, requiring the competent conduct of all legal procedures.
Firstly, proper paperwork will be required, and it is also necessary to report this to the tax authorities and other authorities. Errors in paperwork during dismissal can lead to the restoration of the head in court. The procedure for dismissing the CEO must be fully observed, taking into account all the conditions prescribed in the Labor Code, in order to avoid the negative consequences associated with the labor inspection.
The dismissal procedure will require amendments to the constituent documents of the company. The memorandum of association or charter should contain information about who has the right and can provide the position or dismiss the CEO. In the bulk of cases, such a body authorized to carry out similar procedures is the general constituent assembly of the organization.
However, not all companies prescribe these conditions in the charter of the organization. In such a situation, you will have to perform the general procedure. In accordance with this, the founders make the hiring or dismissal of the CEO. To solve the issue of dismissal of the head, a general constituent assembly of the company should be held. The dismissal of the Director General of the LLC is secured by signatures in the minutes of the general meeting.
The meeting should be held in the same way as in other cases, subject to all formalities.
In accordance with labor law, the grounds for dismissal of directors should be the same as for other employees. You cannot fire a person just because he no longer suits the owners of the company. But if the employment contract contains a condition that the head can be dismissed by the decision of the founders, then this dismissal will be legal.
The Labor Code also stipulates additional grounds for dismissing the CEO. These are poor financial results of the company. To determine these indicators, you should first conduct an internal audit (analysis of the company), draw up a report on the unsatisfactory state of affairs of the company and, as a result, on the unsatisfactory work of the director.
The grounds for his dismissal are not recorded in the workbook of the dismissed general director, it is usually noted that the basis for the dismissal of the head was the decision of the meeting of founders.
In some cases, the desire to quit comes from the director himself. In this situation, in the name of the founders of the company should write on a sheet of paper a letter of resignation of their own free will. However, unlike ordinary employees of the company, the head must notify the founders of his intention to quit no later than one month in advance. But in this case, a meeting of the founders of the company will be required. And in the workbook they record that the dismissal of the general director is based on the decision of the general constituent assembly. This fact of dismissal must be reported to the tax authorities and to the bank that services the company.
After the director leaves, the organization cannot work without a leader. If the founders have not decided on the candidacy of a new top manager, then an acting person should be appointed for some time . This position can be replaced by a deputy of the former CEO, one of the founders or the chief accountant. A new appointment will also need to be notified to the bank and the tax office.