Reasons for termination which may be deemed fair under employment law in Ireland include:
- Dismissal due to performance, conduct, capacity
To avoid an unfair dismissal claim in Ireland, an employer must ensure that there is a good reason for the dismissal and that it has followed fair procedures leading up to the dismissal. Employees have the right not to be dismissed, or otherwise penalised, for making a “protected disclosure”, a complaint about health and safety or to be dismissed as a result of any of the nine grounds of discrimination.
Redundancies occur when the employee’s role no longer exists, i.e., business closures, restructurings, or a change of job requirements. Employees with more than 2 years’ service may be entitled to a statutory redundancy payment. The statutory redundancy payment is 2 weeks’ statutory redundancy payment in Ireland, capped at €600 per week, for every year of service plus a bonus of 1 week’s pay. Many employers make an ex-gratia payment or goodwill payment on top of an employee’s statutory entitlement. There is a separate statutory process to follow for large scale redundancies. We have shared top tips for employers implementing redundancies.
While there is no statutory compulsory retirement age in Ireland, employers can have a mandatory retirement age in a contract provided it is objectively justified by reference to a legitimate aim, and the means of achieving that aim are appropriate and necessary.
