Dismissal by agreement of the parties. What does it mean

Maria Soboleva
24.09.2015

Dismissal by agreement of the parties. What does it mean?

What is a dismissal by agreement of the parties, what are its features and differences from other types of termination of labor relations? As an employee, it’s right to quit a job by mutual agreement with the maximum benefit - let's see.

What does a dismissal mean by agreement of the parties?

The word "agreement" itself implies a mutual agreement between the two parties. Since this is an employment relationship, the employee and the employer must come to an agreement on the issue of dismissal.

Resign by agreement of the parties

Moreover, both Russian and Ukrainian labor laws do not particularly go into details on how and on what specific conditions a contract with an employee is terminated.
Discuss details and find consensus. By the way, both the employee and the administration can offer dismissal by agreement of the parties. But it will require conditions that suit everyone.

Dismissal by agreement of the parties - benefits

When is it profitable for an employee to quit his job under the above article? He can take such a step if it is urgent to part with the current employer. The agreement of the parties does not provide for a mandatory two-week working out, as in the case of leaving at will.

Or, for example, the situation is reversed: the employee wants to quit, and decided to notify the authorities in advance. Suppose that the leadership had the opportunity to find a replacement for it, and the employee himself could easily prepare all the cases for delivery and look for another place of work, without leaving the current one. You can write in a statement that you want to leave by agreement of the parties after a month and a half.

The wording “dismissal by agreement of the parties” is often beneficial to the employer. Perhaps he wants to part with the objectionable employee, but without resorting to dismissal under the article. Then you have to negotiate with the employee on mutually beneficial terms.

Either in this way, the management intends to veil the downsizing of the staff, avoiding the need to comply with all the formalities that the dismissal of such an article implies.

Because the procedure for dismissal to reduce staffing is quite complicated: it is necessary to notify the employee for at least 2 months, to make sure that it can be reduced by law, to pay all the money due - salary, severance pay, various compensation.

And if dismissal takes place by agreement of the parties, the question is mainly only in the amount of compensation. And here the employee has all the chances to achieve favorable conditions for himself.

Dismissal by agreement of the parties - the procedure

There is one important document that must be drawn up by both parties to an employment relationship. It is called the "Agreement on the termination of an employment contract."

Termination of employment agreement

It will certainly indicate the date of dismissal of the employee (his final working day), indicate the reason for termination of the employment contract - the agreement of the parties - and the corresponding article of labor legislation.

The agreement should also include the conditions on which an agreement is reached: the amount of compensation is a specific figure or the number of monthly salaries, additional payments (if they are provided for by mutual agreement, because the law does not oblige the employer to pay them).

It is possible that the parties agreed to provide the employee with leave before dismissal, this should also be indicated in the agreement on termination of the employment contract. The document is made in two copies, signed by both parties, one remains with the employer, and the second - with the employee.

After the agreement on termination of the employment contract is signed, the employee writes a letter of resignation by agreement of the parties, and the employer issues a corresponding order.

We must not forget about one thing - if this agreement is concluded, then it can no longer be terminated, as in the case of dismissal at will. There is, however, an exception - if both parties want to continue their employment relationship. Then the worker remains in his place.

Due payments

The law provides that when the employment contract is terminated, the employer is obliged to pay wages for the period worked by the employee, compensation, if the leave was not used, other stipulated amounts in the form of allowances and bonuses.

But the so-called compensation will have to bargain for the employee himself, if the initiative for dismissal belongs to the authorities.Otherwise, you can not reach agreement.

It is necessary to pay with the employee on the last day of his stay at work, and in full, and also to give him a workbook with a record of dismissal by agreement of the parties.

How to quit by agreement

When there is a choice between dismissal on redundancies and by agreement of the parties, the second option should be preferred only in the case of the proposal of more favorable financial conditions.

Experienced employers, simplifying the procedure for dismissal, prefer to pay a person about one and a half times more and dismiss him by agreement of the parties. A bonus also offers good recommendations to the employee.

But trust verbal promises unreasonable. All proposed benefits must be confirmed by specific entries in the "Agreement on termination of the employment contract."

Dismissal by agreement of the parties, as well as for redundancy, gives the right to register with the employment center and immediately receive unemployment benefits. But in the case of leaving at will, payments will begin only after 3 months.

You have to dismiss and the situation is quite conflict? Read about your rights yourself or get a lawyer's advice, and choose the best option for leaving your job,when your interests are taken into account and labor laws are not violated.


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  • Dismissal by agreement of the parties. What does it mean

    Dismissal by agreement of the parties. What does it mean

    Dismissal by agreement of the parties. What does it mean

    Dismissal by agreement of the parties. What does it mean

    Dismissal by agreement of the parties. What does it mean

    Dismissal by agreement of the parties. What does it mean

    Dismissal by agreement of the parties. What does it mean

    Dismissal by agreement of the parties. What does it mean

    Dismissal by agreement of the parties. What does it mean

    Dismissal by agreement of the parties. What does it mean

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