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COVID-19: Prohibition of Dismissals During the Crisis Period

By May 12, 2020December 2nd, 2020Monaco News

In the context of the COVID-19 crisis, the Principality of Monaco has adopted protective measures for employees. Especially, on 11 May 2020, the Government of Monaco has published a new law prohibiting abusive dismissals.

During the crisis period, any dismissal is prohibited, except in four specific cases. The dismissal of an employee may be permitted if it is justified by:

1 – a gross misconduct;

2 – economic reasons when the dismissals where planned before the COVID-19 crisis;

3 – a disappearance of the object of the employment relationship such as a definitive      closure of the company;

4 – the employee incapacity.

The termination of a fixed term contract will be possible only in the case of gross misconduct or disappearance of the object of the employment relationship.

In any case, the emp

In the context of the COVID-19 crisis, the Principality of Monaco has adopted protective measures for employees. Especially, on 11 May 2020, the Government of Monaco has published a new law prohibiting abusive dismissals.

During the crisis period, any dismissal is prohibited, except in four specific cases. The dismissal of an employee may be permitted if it is justified by:

1 – a gross misconduct;

2 – economic reasons when the dismissals where planned before the COVID-19 crisis;

3 – a disappearance of the object of the employment relationship such as a definitive      closure of the company;

4 – the employee incapacity.

The termination of a fixed term contract will be possible only in the case of gross misconduct or disappearance of the object of the employment relationship.

In any case, the employer must obtain an authorisation from the Labor Inspector (“Inspecteur du Travail”) prior to any dismissal. This new requirement is a strong protective measure in favor of the employees. The employer will have to carefully justify that the dismissal is not linked to the COVID-19 crisis and is not abusive.

loyer must obtain an authorisation from the Labor Inspector (“Inspecteur du Travail”) prior to any dismissal. This new requirement is a strong protective measure in favor of the employees. The employer will have to carefully justify that the dismissal is not linked to the COVID-19 crisis and is not abusive.