What is severance pay? The legislation does not contain an exact answer to this question. However, in Art. 178 of the Labor Code of the Russian Federation indicate cases where a citizen has the right to demand this payment from the head of the organization. But despite this, the list of these circumstances is not exhaustive. Monetary compensation is paid to a citizen during the reduction and liquidation of the organization. In addition, it is material support for an employee who, due to the circumstances, is forced to go in search of another job. In labor or collective agreements, other cases of payment of this allowance may be prescribed, except for those recorded in Art. 178 of the Labor Code of the Russian Federation.
Main
Almost all citizens of our country are aware that compensation is paid to the employee upon dismissal due to reduction or in connection with the liquidation of the organization. This is due to the fact that the labor contract expires for reasons beyond the control of the employee. Therefore, the paid severance pay will only be compensation for the fact that a person loses his job and remains without a constant source of income.
Art. 178 of the Labor Code of the Russian Federation also indicates that the employer is obliged to pay the employee compensation in the amount of the average monthly income upon dismissal due to staff reduction or due to the termination of the enterprise. In addition, the latter retains his earnings until the next employment, but no more than for two months, with the offset of the benefit paid .
Appeal to the employment authority
After dismissal, citizens who want to find another job come to the labor exchange for help. This is especially necessary for those people with whom the employment contract was terminated due to liquidation of the organization or reduction of staff.
The latter must be registered with the employment service no later than 10 days after dismissal on one of the indicated grounds. After all, Art. 178 of the Labor Code of the Russian Federation provides an opportunity for a citizen to receive an average income for the third month only if the person is registered with the employment agency but has not been employed by him. Accordingly, if a former employee of the enterprise has not performed the actions specified in the law, then he will have to be content only with the earnings and benefits that were transferred to him earlier.
It's important to know
Monetary compensation is issued to an employee not only when he was dismissed due to staff reductions or due to liquidation of the organization. The obligation to pay material assistance in other official circumstances is fixed in Art. 178 of the Labor Code of the Russian Federation. The severance pay in the amount of the two-week earnings of a subordinate should be transferred to him in such cases as:
- when he refused to transfer to another job (if it is necessary to do this in connection with the issued medical certificate);
- conscription for military or other substitute civil service;
- reinstatement in the workplace (by a court or labor inspection);
- if he refused the transfer to carry out activities in another locality together with his leader;
- recognition of the latter as incapable of further performing his official duties (only on the basis of a medical report);
- if he refused to continue work due to the fact that the conditions of work have changed.
Nuances
Various cases of severance pay may be specified in a service contract or collective agreement. In addition, the amount of this compensation may be much higher than that specified in Art. 178 of the Labor Code of the Russian Federation.
The dismissal of a citizen by mutual agreement of the parties is almost always accompanied by the payment of this allowance. Indeed, modern legislation does not prohibit the head of an organization from writing such a condition in a service contract. Because it happens that an employee no longer wants to continue to work at the enterprise, and the employer does not know how to fire him. In this case, the completion of official relationships by agreement of the parties with the transfer of monetary compensation to the subordinate will be the best option for resolving the issue.
Some differences
Citizens who work in the North have some advantages over other workers who carry out their official activities in other areas of our state. In case of reduction or dismissal of these persons in connection with the termination of the organization, they are paid severance pay in the amount of monthly income. In addition, they also retain earnings until the time of employment for up to three months.
In the event that citizens working in the Far North, after being dismissed for these reasons, were registered with the employment agency within four weeks from the termination of their service relations and were not registered for work, they will receive a salary from the previous enterprise for another three months .
Thus, the obligation to pay severance pay, as well as the size of this compensation and the period of accrual are recorded in Art. 178, 318 of the Labor Code of the Russian Federation.
What is the law?
Many citizens are interested in the question of when exactly should the employee receive severance pay if the official relationship with the employer is finally completed? In this case, the basis for dismissal of a subordinate does not matter.
According to the current labor legislation, a citizen must receive his salary and other payments on the last day of work in the organization. Thus, if the severance pay was for some reason transferred to the dismissed employee later than the deadline, then he can seek help from the competent authorities.
Warning
If the organization is planning a reduction or the company ceases to operate, then employees must be notified of the impending dismissal no later than two months. This is the law. During this period of time, a person has the opportunity to find a job and not remain without a source of livelihood.
In addition, the head of the enterprise is obliged to offer the employee subject to reduction, all available vacancies in the organization. If the latter refuses to transfer to another position, he will be dismissed after the expiration of the specified period. In the event of termination of official relationships to reduce staff or due to the termination of the organization, compensation is paid to the citizen in the amount of monthly income. This rule is spelled out in Part 1 of Art. 178 of the Labor Code of the Russian Federation.
The head of the enterprise can dismiss a subordinate before the expiration of a two-month period. In this case, the latter is paid compensation in the form of earnings in proportion to the time worked.
Features of the payment of benefits for the dismissal of employees in connection with the reduction of staff, as well as guarantees provided by the latter, are recorded in Art. 178, 180 of the Labor Code of the Russian Federation.
Not allowed
If a citizen leaves the organization of his own free will or at the initiative of the head, then he will not be paid severance pay. Of course, labor legislation provides an opportunity for an employer to write down other cases of transferring said compensation in a service agreement, but practically none of this does.
Due to disability
This fact can only be confirmed by a medical document issued by specialists dealing with such issues. After all, disability is assigned to a person only by a medical commission. Therefore, the employee who did not provide the manager with a conclusion on his inability to work, will not be able to receive severance pay in the amount of earnings for half a month, due to him under Part 3 of Art. 178 of the Labor Code of the Russian Federation.
Thus, a person who, due to health reasons, can no longer work and wants to quit, must strictly comply with all the requirements of the law.
Is it taxable?
This is a very interesting question that interests most of the citizens of our country who were fired in connection with the reduction. In the event that the amount of the benefit paid is less than three months of employee earnings, then it is not taxed.
Is child support withheld?
Yes, from the severance pay, as well as from other income of the dismissed employee, funds are transferred to support his child or children. In this case, the amount of deductions under the executive document may reach 50 percent of the earnings of a subordinate.
Amount Change
The head of the company can increase the severance pay of the employee. The determination of the size of this compensation is affected by the conscientious attitude of the subordinate to work, his discipline, extensive experience and work experience. But it should also be remembered that the amount of the benefit cannot be less than that prescribed by law.