The economic crisis does not allow to live in peace. Companies, organizations, firms or sole proprietors who are experiencing economic difficulties without finding any other way out of this situation are starting a massive layoff . This procedure is accompanied not only by a large workflow, but also by a rather serious expense of money.
It is known that in Russia the Labor Code protects the rights of workers. Therefore, with a reduction in staff, a manager cannot just kick an employee out into the street. The Labor Code defines the procedure for dismissal of employees.
First, the employer must notify the employee in writing and against signature of an upcoming layoff no later than two months before dismissal.
Secondly, you can’t fire everyone. Single mothers, pregnant women, sick workers, union members without the consent of the trade union committee or those on vacation, etc., are not subject to dismissal. In addition, there is a certain group of workers who have the advantage of continuing to work while reducing. These are highly skilled workers, family people who have two or more dependents, those who have received injuries or occupational diseases from this employer, and other categories.
Thirdly, under the Labor Code of the Russian Federation, all dismissed employees are required to be paid severance pay upon reduction of staff.
Therefore, you need to know exactly who and how the benefit is paid upon reduction. Moreover, the reduction must be real, otherwise the dismissed employee may sue the employer and recover.
If the organization really has a reduction in the number of employees, then on the day of dismissal, employees must pay all the money that is legally due to them: salaries and compensation for vacations not used by the employee, and severance pay for staff reductions.
How is it calculated? The Labor Code of the Russian Federation obliges the manager to pay the dismissed employee an allowance for reduction, the amount of which is equal to the average monthly earnings. In addition, for the entire period of employment, which should not be more than two months, the dismissed employee is paid the average monthly salary. If an employee, after being dismissed within a period of 2 weeks, turned to the employment service, but there was no job for him, the average earnings may be paid for the third month.
The severance pay upon staff reduction is determined as follows: the amount received over the estimated time period is divided by the number of working days. This is how one-day average earnings are calculated. Then it is multiplied by the number of days in the period for which the employee receives the calculation.
The calculation of the manual seems to be quite simple, for this you need simple mathematical calculations. However, in reality, it can give various results. For example, if there are a lot of holidays or weekends in the billing month, then the employee will receive a much smaller amount.
You can change the billing period in the following cases:
- if the employee in this organization has not worked for 1 year. Then only the period when the person really worked in the organization is considered;
- if the employee got a job and was cut in the same month. And then the time actually worked by him is considered a settlement period.
When determining the average earnings, the time when the redundant employee:
- was sick or received maternity benefits;
- was on vacation, vacation at his own expense or business trip;
- did not work through the fault of the head;
- was considered at first part-time, and only then was accepted into the staff of the institution;
- during the strike he could not work, although he himself did not participate in it;
- had a paid extra weekend to care for children who are disabled;
- worked part-time , etc.
Absolutely all employees receive severance pay upon staff reductions, that is, even those who, for example, are on maternity leave for a small child. Such a benefit paid to an employee upon reduction is not subject to personal income tax and UST.
Of course, not every company is happy to give money to laid-off workers. However, in this case, the savings are rarely justified. After all, an employee can apply to the judicial authorities, and judges in most cases stand on the side of the dismissed person.