Severance pay and other payments upon dismissal. All about severance pay on dismissal

Sometimes, when dismissing an employee, the company is obliged to pay him not only money for the worked period and unused vacation, but also additional funds... These are called severance pay and are given to the dismissed specialist on the last day of work.

This kind of financial assistance is fixed by the Labor Code and law enforcement practice. Not all employees can count on the sum of money. Payment is possible only for certain reasons termination of employment.

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Basic Provisions

The maximum amounts are prescribed in the employment agreements, while the legal regulation defines the minimum threshold. Also, the legislation prescribes the procedure for personnel who, prior to dismissal, held managerial positions. Such persons have the right to special benefits.

In case of calculated violations and inconsistency of the amount received with the parameters of the Labor Law, the dismissed specialist can use the right to appeal to the labor protection inspectorate or the courts.

The parameters of the severance pay, the period for receiving it and other nuances are regulated by several articles of the Labor Code of the Russian Federation. First of all, it is Article 178, where the grounds are spelled out for receiving sums of money, their size, as well as the procedure and timing of calculation.

The reasons for the termination of employment, implying the right of the dismissed person to receive compensation for the period of the job search, are spelled out in Article 81 of the Labor Code, where among them are indicated:

• companies.
• Staff reduction.

Article 318 of the Labor Code determines the amount of funds received by specialists of liquidated companies operating in the Northern regions.

Article 84 of the Labor Code of the Russian Federation regulates monetary relations in situations where the employment contract was concluded with obvious violations, but the employee was not to blame for them.

Article 180 of the Labor Code establishes the possibility of terminating the employment relationship without prior notice to the employee, indicating the funds allocated to him in this situation.

Article 296 of the Labor Code of the Russian Federation, prescribes the rights of staff recruited for 1 season.

Article 181 of the Labor Code of the Russian Federation, prescribes the rights and amounts of money due to the management personnel of the companies.

Article 83 of the Labor Code of the Russian Federation indicates how much an employee drafted into the army can count on.

The payment procedure is indicated in Article 77 of the Labor Code of the Russian Federation... She also prescribes the amount of payment to a specialist who refused to move with the company.

Reasons for paying severance pay

In fact, the benefit is a compensation for the dismissal itself, the order of which is the reason for the corresponding payments.

You can familiarize yourself with a sample order for the payment of severance pay.

No other documents are required. The amounts due are issued depending on what reasons led to the dismissal specialist. These include:

They mean the following:

1. An employment contract with persons deprived of the right to hold a certain position by a court verdict;
2. medical contraindications for a specific job;
3. the lack of the necessary experience and competence of the hired employees, confirmed by a diploma and certificates;
4. enrollment of disqualified persons deprived of the right to occupy a specific position or expelled from Russia;
5. enrollment of persons previously dismissed from the state or municipal service, with a prohibition to perform such functions in the future;
6. enrollment of workers who are prohibited from performing certain functions. For example, minors are not allowed to do harmful work.

If the employer is not an organization, but an entrepreneur, the terms of compensation at the end of the activity and the reduction of personnel are prescribed in the employment agreement. If it does not indicate payment on such grounds, the dismissed specialist does not receive anything.

When going to court, he also cannot count on positive review... The definitions of Kirovsky, Moscow regional courts and the Khabarovsk Regional Court.

In other situations, the reasons for compensation for dismissed personnel do not depend on the type of employer, be it an organization or a private entrepreneur.

The amounts of compensation in cases not provided for by legislation, but established by internal regulations, are carried out at the expense of the organization's income, provided that this does not entail an increase in the cost of goods produced.

At the same time, the legislation unequivocally indicates that a collective agreement is only capable of improve employee rights regarding the provisions prescribed in the Labor Code and other regulations.

Because of this, most collective agreements determine the amount of compensation payments. If such conditions are not spelled out, the dismissed persons can count on legal compensation.

Certain categories of specialists have the right to count for a separate mechanism and other amounts of compensation calculations. These persons include civil servants who are dismissed as part of departmental layoffs or the dissolution of a certain body.

They are entitled to a payment in the amount of the average wage, which is made during 3 month period from the date of dismissal... In addition, individuals can also count on severance pay in the amount determined by the terms of the employment agreement.

You will probably be interested to know how unemployment is calculated.

In the absence of suitable proposals for a new job, a civil servant retains a continuous length of service for a period of 1 year.

The director, deputy head and chief accountant have the right to count on compensation in the amount of the average salary for 3 months. It is carried out in situations of transfer of property to another owner, obliging the new owner to make a payment.

A manager dismissed without reason and in the absence of his direct fault is also entitled to compensation in the amount of wages in 3 months.

Order and size

In any (provided by law) case, the employee can count on for the amount of actual average monthly earnings... Reimbursement during the period of employment is charged for a 5 or 6-day working week, based on the regulations of the previous organization.

When calculating the average monthly allowance, the earnings in the year preceding the dismissal are taken into account, and the process itself is carried out according to the formula:
SDZ (average daily fee) + RD (number of working days) = Allowance.

The payment mechanism adopted in the company, whether it is salary, piecework, bonus amounts, as well as tariffs in the form of hourly, daily or monthly rates is not taken into account.

The procedure for compensation calculations and their sizes depend on the nature of termination of the employment agreement and its reasons:

If the labor agreement was concluded with violations that make it impossible further work or the transfer of a person to another place within the company, he, in the absence of fault for violations, receives compensation in the amount of monthly earnings.

2 week earnings relies on employees who were previously dismissed on unlawful grounds and reinstated in their positions by a court verdict or appeal by the labor inspectorate. In this situation, it is controlled by the court.

Dismissal compensation by agreement of the parties

Sometimes employers and employees have recourse to parties whereby all financial matters are regulated. There are no restrictions in this case, both parties independently discuss the amount of compensation.

However, subsequently challenging the compensation is quite problematic and the signature on the document automatically deprives the employee of the right to any additional payments.

Find out the procedure for dismissal by agreement of the parties with payment of compensation in our article.

On the day of dismissal by agreement of the parties, the company must pay the employee all due cash in the form of wages, vacation compensation and severance payments, if provided by the agreement.

In practice, a person is offered compensation in the form of a fixed amount or compensation calculated on a general basis, but issued within the framework. The calculation is carried out on the last day of work and subsequently the employee cannot count on other payments, including compensation for the period of looking for a new job.
Learn about payments in case of dismissal by agreement of the parties from the video:

Compensation payments for staff reduction

Downsizing is one of the 2 reasons for the payment of compensation during the period of employment. The second basis for payment is the liquidation of the organization.

It is important to remember that legal regulations do not apply to individual entrepreneur... If the company is registered as an individual entrepreneur and the employment agreement does not provide for compensation upon dismissal, the employee will not receive anything.

In other cases, the specialist is entitled to an allowance in the amount of average monthly earnings. The law assumes that the amount will provide him with the necessary material support during the period of looking for a new job.

The first payment is made on the day of dismissal, and all subsequent calculations require the provision of documents confirming the absence of a new job for an employee who was laid off due to staff reductions.

An indispensable condition for subsequent payments is registration at an employment center in the first 2 weeks from the end of work. The legislation also allows for a later appeal to the employment service, in which a dismissed employee can also count on an extension of payments.

To do this, he must have good reasons, which include illness, fulfillment of public or state commissions. The receipt of compensation in the first 2 months does not depend on the consent of the applicant for the job offered at the Employment Center. However, having refused twice, on benefits for 3 months, he can no longer count.

The proposed work should match the skill level of the employee, conditions of the last workplace, medical indicators and earnings. If his level exceeded the subsistence level, the employment agency cannot offer a position with a lower pay.

If at the previous place of work, the wages did not correspond to the subsistence minimum, the employment center cannot offer a job with lower earnings.

Some organizations provide a one-time payment that covers the entire potential duration of employment. (no more than 3 months)... However, such generosity is quite rare.

In practice, in order to receive compensation for the second month of employment, a specialist must present a work book with no record of new employment and write a statement. To avoid misunderstandings, a certified copy must be removed from the book.

Compensation to an employee for the 3rd month of job search is made on the basis of a written application, a work book (you must also make a copy and certify) and the decision of the employment center to keep the employee's wages.

With the reduction of the staff of companies operating in the regions of the Far North, the right to receive employment benefits remains with the dismissed employee within 6 months... Every month he must bring a work book, an order from the Employment Center and write a corresponding application.

Seasonal workers and employees hired by the organization for a period of less than 2 months are entitled to an allowance in the amount of 2 week earnings.

How the redundancy dismissal benefit is calculated in the video clip:

People often refer to all the money they receive when they quit their job as severance pay. The exciting situation of changing jobs is always fraught with a bunch of questions from dismissed workers. Therefore, in this article I will answer in as much detail as possible to important question –what will the employee be paid upon dismissal? How payments are calculated, what is fraught with non-payment or delay for the employer in this case, and other related issues.

Severance pay upon dismissal is stipulated by Article 178 of the Labor Code Russian Federation, which is called "Termination Payments" and refers to Chapter 27 "Guarantees and Workers' Compensations Related to Termination employment contract».

○ Severance pay upon termination of employment.

Severance pay is a sum of money paid in a lump sum upon termination of employment for certain reasons.

If something unpleasant for employees occurs - the liquidation of the organization or a massive reduction in the number (staff) of employees, in this case, the employee is obliged to pay severance pay equal to the average monthly earnings... In addition, he will retain his average monthly earnings for the period of employment, but no longer than two months from the date of dismissal (including severance pay).

EXAMPLE! If an employee of Vasilisa Wonderful wages on average 18,200 rubles per month, and an employee of Zmey Gorynych, 22,660 rubles, both will receive exactly these amounts as a severance pay in case of redundancy.

However, if the enterprise or organization has a collective agreement stipulating that, when dismissing employees in the event of liquidation or reduction of staff, everyone is paid a severance pay of 30,000 rubles, then that amount will be paid to everyone.

IMPORTANT! V labor law along with the Labor Code, other acts act on an equal footing if they improve the position of the employee.

If the downsized employee applied to the employment service body, but was not employed within two weeks (about which he was given a corresponding decision of this body), then, by providing his work book and this decision on his old job, he can count on the average monthly earnings during the third month from the date of dismissal. But this case is exceptional.

Severance pay in the amount of two weeks average earnings paid upon termination of the employment contract in the following cases.

1. If the employee was issued a medical certificate that does not allow him to work on the conditions under which he was once hired for this job, while the employer offered a job in another position, and the employee refused (or the employer does not have a suitable vacancy). In this case, the employee is dismissed in accordance with clause 8 of part one of Article 77 of the Labor Code of the Russian Federation.
2. The situation may be worse - and the employee, due to some serious health reasons, the Medical and Sanitary Expertise establishes a “non-working” disability group. It turns out that he is completely incapable of labor activity and must be dismissed immediately on the day the conclusion is issued due to circumstances beyond the control of the parties, paragraph 5 of the first part of Article 83 of the Labor Code of the Russian Federation.
3. The employee was called up for compulsory military service (in this case, the law equates the civilian alternative to this service).

   EXAMPLE!If the employee Ivan Zhukov received a summons, and he honestly went to the army, and before that his average monthly salary was 22,500, then when calculating he will be paid a severance pay in the amount of 11,250. In addition, he will be paid the worked out wages and compensation for unused vacation time. There will be something to walk off the wires for!

4. The practice of labor relations is quite extensive, and our courts comply with procedural deadlines, and can make their final decision for a rather long time. Thus, a situation may arise that you are hired to replace the person who has filed a lawsuit against illegal dismissal and reinstatement at their former workplace in the same status.
   And this citizen was restored by the court to his former workplace... Unfortunately for you, as for those working at this place today, the employer is forced to fire you (the basis is clause 2 of part one of article 83 of the Labor Code of the Russian Federation). The weak form of compensation for your suffering in this case is the payment of severance pay.
5. It may happen that the employer is forced to move to another area for a number of reasons. If the employee does not agree to be transferred to work in another locality together with the employer, refuses to move, then, in accordance with paragraph 9 of the first part of Article 77 of the Labor Code of the Russian Federation, he leaves, and he is paid severance pay in the amount of two-week average earnings.

○ Payments upon termination of employment by agreement of the parties.

Payments upon termination of employment by agreement of the parties are not required by law. However, payments and severance payments may be agreed on the basis of an employment agreement or collective agreement, or the payment may be specified in the termination agreement itself.

EXAMPLE! Having written a letter of resignation by agreement of the parties from Pole Miracles LLC, Basilio's cat agreed (and this was entered into the agreement in writing) that his severance pay would be 5,000 rubles. This amount was added to his salary and compensation for unused vacation.

○ Deadlines for severance pay on termination of employment.

The term for payment of severance pay upon dismissal is the last working day of the employee when he will be given:

• Wages.
• Compensation for unused vacation.
• Severance pay, if it is stipulated by law or other act (collective agreement, employment contract, agreement of the parties).

IMPORTANT! The sums of money that must be paid to an employee who is dismissed in connection with the liquidation of an organization or in connection with a reduction in the number or staff, for the second and, in exceptional cases, for the third month of the employment period, are not considered severance pay! Accordingly, their payment terms are determined locally.

Art. 178 of the Labor Code of the Russian Federation guarantees retiring employees financial resources that support them during the period of employment - severance pay. The goal is to financially support the former employee while he is looking for a new robot, if he had to leave the old one not of his own free will or fault. The employee receives this payment on the day of dismissal.

In the article, we will consider the subtleties regarding the calculation of this benefit, the procedure for its payment, its relation to taxes and contributions, and also analyze who has the right to count on it and in what amount, and who does not have to count on this financial support.

Who pays severance pay on dismissal

Employer - entity is obliged to guarantee the dismissed employees the payment of severance pay, except for the grounds for dismissal listed in the law.

If the employer is Self employed, then the question of the payment of severance pay remains at its discretion. These points are negotiated when hiring and should be reflected in the employment contract. If the main document, which is designed to regulate the concluded labor relations, does not touch upon this issue, the dismissed person may remain without severance pay, and this will be legal.

Dismissals with benefits

When a dismissal order is issued, it indicates the basis for dismissing the employee from office and the corresponding article of the Labor Code. For each reason, there is a separate procedure for termination of employment agreements, which in many cases includes the accrual of "dismissal" benefits. It is relied on for the following reasons:

• liquidation of an enterprise, organization, firm;
• reduction of staff or numbers;
• professional unsuitability for medical reasons (if there is no other suitable vacancy or the employee's desire to take it);
• complete disability (according to a medical report);
• unwillingness to continue working in a changed working environment;
• refusal to be transferred to another locality following the employer;
• conscription into the army or for service replacing it;
• leaving maternity position;
• cancellation of an incorrectly drawn up employment contract;
• vacating a position for a previously held employee who was unlawfully dismissed and reinstated by a court or labor inspectorate.

NOTE! Almost any employee who is forced to leave their position is entitled to severance pay as long as they are clean before the law and the provisions of the employment contract.

Leaders also quit

And, accordingly, they have the right to an honestly deserved severance pay, but only on the condition that there are no illegal actions on their account or they have not made decisions that negatively affected the finances of the enterprise. In what cases the top managers' labor allowance is charged:

• if they are removed from office by the decision of the founders without any fault (clause 2 of article 278 of the Labor Code of the Russian Federation);
• to the chief, his deputy, the chief accountant, whom the changed owner of the business decided to dismiss.

FOR YOUR INFORMATION! If, by a court decision, a person (be it a manager or an ordinary employee) received a ban to engage in certain types of activities, then, leaving this position, he also has the right to a "severance" payment.

Who will be left without benefits

There are several reasons why people who are dismissed are not legally required to pay severance pay. Most of them imply their own will or the guilty actions of the dismissed employee. The exception is short-term contracts.

These grounds do not imply corresponding payments:

• care according on their own(Clause 3, Part 1, Article 77 of the Labor Code);
• the employee failed to pass probation(part 1 of article 71 of the Labor Code);
• agreement of the parties;
• the employer's initiative, if the misconduct of the dismissed provides for an extreme measure of administrative responsibility (Article 81 of the Labor Code);
• inconsistency with the position held by the employee;
• when the contract concluded for 2 months or less comes to an end.

What amounts can you expect?

The amount of the accrued severance pay is calculated in accordance with the following factors:

1. Average monthly earnings.
2. The number of days in the compensated period, excluding weekends and holidays.
3. The territorial location of the enterprise.

ATTENTION! Since the essence of this payment is support in the first two months of new employment, only working days are taken into account. The more weekends and holidays in the compensated month, the lower the benefit will be.

It can be paid for a period of 2 weeks, a month or 90 days after dismissal.

Salary in 14 days relies on such categories of dismissed:

• upon dismissal on medical grounds;
• conscripted into the armed forces;
• in case of refusal to move to a new place, if the organization moves there;
• when the former employee is being restored;
• if you do not want to work in changed conditions;
• "Conscripts", during the work of which the enterprise is liquidated or its staff is reduced.

1 month earnings relies:

• upon cancellation of employment contracts executed with certain violations;
• upon complete dismissal due to the termination of the existence of the organization.

3 monthly salary will receive:

• managers, their deputies and chief accountants, leaving their positions at the decision of the business owners.

IMPORTANT! The average salary will be paid to the employee for another 2 months after the X hour, if during this time he will not be able to find a new job. In some situations, the Employment Service decides to extend the payment for another 1 month (if, within 14 days, the dismissed person appealed to this body and did not find a job after 2 months).

Some regions of Russia are in special conditions, for example, the Far North and areas equated to this region. If the company from which the employee leaves is located in a similar zone, then all payments are calculated differently, for example, the terms for keeping wages for the period of job search can be increased to six months (Article 318 of the Labor Code of the Russian Federation).

Examples of calculating the labor allowance

1. The LLC where S.M. Galuzinsky worked is being liquidated. The employee earned 8,000 rubles. per month. We calculate average earnings per day: the number of working days per year was 220, we multiply the salary by 12 months and divide by the number of days worked: 8000X12 / 220 = 436.36 rubles. The basis for dismissal involves the accrual of S.M. Galuzinsky. the amount of one average monthly earnings. Next month, 20 business days are expected (no holidays). Thus, S.M. Galuzinsky receives 436.36X = 8727 rubles.
2. Denisova V.A.'s salary - 10,000 rubles. per month On January 11, 2016, she was dismissed due to staff reductions. For the previous billing year, she got 249 working days, she earned 12x10,000 = 120,000 rubles, which means that an average of 120,000 / 249 = 481.9 rubles per day. Next month (Jan 12 to Feb 12, 2016) there will be 23 billable days. January 11 Denisova V.A. received severance pay in the amount of 23X481.9 = 11,083 rubles. A week later, she applied to the Employment Center, but until February 12, she could not get a job, and she was again credited with benefits. From February 12 to March 12, 21 days without days off, minus March 8, so she is entitled to 20x481.9 = 9638 rubles for this period. If she did not begin to involve the Employment Service or would register after January 24, this payment would be the last. V work book Denisova V.A. there was no record of a new job and within the next month. Since she turned to the Employment Service on time, she was entitled to one more, last financial help. In the third settlement month (from March 12 to May 12, 2016) 19 working days (except Saturdays and Sundays, May holidays are also excluded). Denisova V.A. will receive 19X481.9 = 9156 rubles. She is not entitled to more payments.

IMPORTANT INFORMATION! The Labor Code of the Russian Federation provides a minimum of guaranteed financial support for those who have lost their jobs. The amount of the allowance can be revised upward if such a possibility is noted in the collective agreement or local normative act of a particular enterprise.

What about tax payments?

This payment received on the last business day is income natural person, but such income, as Art. 217 of the Tax Code of the Russian Federation, is not subject to income tax if the amount is accrued in the amount established by law. Insurance and pension contributions for the amount of benefits enshrined in the Labor Code are also not made.

If the company, by its own will, enshrined in the relevant documentation, increases the minimum payable prescribed in the law, then the surplus is subject to taxation. Insurance premiums and personal income tax will have to be paid from the amount that exceeds the usual payments.

What is severance pay and who is it entitled to? The Labor Code establishes the cases of these mandatory payments to those employees with whom the employment contract is terminated or does not continue. It should be noted that not every employee who leaves is entitled to severance payments. You need to be careful about settlements with an employee who quits, because underpaying him is a violation of the law, and overpaying too. In addition, the amount of the payment depends on the reason for which the employee was dismissed, whether there are any culpable actions on the part of the employee upon dismissal. It is also important to take into account the position of the employee, since managers and civil servants have a special status when calculating payments upon dismissal.

What is severance pay and who is entitled to it

Severance pay is defined by labor law as compensation in the event of termination of an employment contract with an employee. At the same time, the main reason for such termination, as a rule, is the initiative of the employer, as well as the reasons for which none of the parties to the employment contract can be responsible. Wherein, important nuance is the reason for the termination of the employment contract. If this is a disciplinary offense of an employee, violation of labor discipline by him, committed theft, embezzlement or official forgery, then such a “specialist” is not paid severance pay in any case.

According to the law, on the day of dismissal of an employee from work, pay him severance pay, and also carry out all mutual settlements with him. In addition to the severance pay, the employee must receive compensation for unused vacation, as well as the amount of salary for the time he actually worked. The calculation of benefits is made on the basis of legislative acts, an employment contract, a collective agreement, as well as the very expression of the will of the employer.

Sometimes, the employer has the right to pay severance pay to an employee who does not owe them at all, or is entitled to, but in a smaller amount. The legislator does not prohibit the employer from establishing other compensation payments upon dismissal, directly in the text of the employment contract with the employee. That is, the basis for the payment of benefits can be not only the law, but also the agreement of the parties. Just do not forget that from the amount exceeding the statutory minimum, the employer must pay tax deductions for the employee.

Amount of severance pay upon dismissal

The Labor Code establishes the amount of severance pay payments, which is provided for in specific situation related to the dismissal of an employee. This size can be increased at the initiative of the employer, about which a condition should be contained in the collective agreement at the enterprise.

So, severance pay in the amount of a monthly salary is provided for those employees who quit for the following reasons:

1. complete liquidation of the enterprise;
2. if an employee has been laid off at the enterprise.

As you can see, both reasons are associated with the initiative of the employer, in accordance with Art. 81 TC. In addition to the fact that this amount of severance pay is paid to the employee on the day of dismissal, for another two months he continues to retain his monthly earnings at this enterprise. Unless, of course, until this moment he finds himself new job... Then you do not need to continue paying the allowance.

Severance pay on dismissal in the amount of two weeks' wages of an employee is provided for those employees who leave:

1. in connection with the refusal of the employee to transfer to another position at the same enterprise, due to health conditions;
2. if the employee, due to his health condition, cannot perform work in this position, and there is no other vacancy suitable for the employee at the enterprise;
3. for military conscription;
4. upon reinstatement of a previously unlawfully dismissed employee in this position;
5. if the employee refuses to transfer to another place (district, region, region) of work, if the employer changes the location;
6. with the complete loss of the employee's ability to work;
7. in case of a significant change in the terms of the employment contract, which the employee refuses to accept.

For leadership positions and other severance payments are also provided for chief accountants. So, if an employment contract with the head of the enterprise was terminated on the initiative of the owner, he is paid monetary compensation, which is three times the average wage of the head. Compensations are not paid for the dismissal of a manager for wrongful acts prescribed by law.

Calculation of severance pay upon dismissal

As mentioned above, the Labor Code establishes the minimum severance pay that must be paid to an employee upon dismissal. However, the employer is not deprived of the right to increase this amount for certain categories of employees, which should be indicated in the employment contract, as well as in the collective one. It is important that severance pay is calculated correctly when an employee is fired.

A special procedure for settlements is provided by law for the dismissal of civil servants. The severance pay upon dismissal of civil servants is calculated based on the monthly salary of such an employee, and should be an amount equal to three monthly salaries of a civil servant. This applies to dismissal due to layoffs, or in the liquidation of the body where the employee served. For judges and prosecutors, other amounts of severance pay are provided upon dismissal for various reasons.

When calculating severance pay, you should pay attention that if its size does not exceed three average employee salaries, the severance pay is not taxable. It is necessary to carry out the calculation according to a certain formula: the size of the employee's average daily earnings should be multiplied by the number of days for which this severance pay is paid.

Based on this, it follows that the employer must pay the severance pay to the employee if he was reduced at the enterprise, as well as in the event of the termination of the company. Some employers go for tricks and fire an employee by agreement of the parties. This is because by dismissing an employee of his own free will, or by agreement between the employee and the enterprise, he does not need to pay severance pay. Knowing this, many employees defend their rights for an extra penny, and do not follow the lead of their employers. After all, they will not be entitled to compensation and protection from the state.

Severance pay and other payments upon dismissal

An employee has the right to resign on his own initiative. At the same time, he is legally guaranteed only payments for unused vacation and for actually worked time. For those employees who are dismissed from the enterprise on the initiative of the employer, all the above payments are provided, including severance pay. Sometimes, by the terms of the employment contract, additional compensation payments to the employee can be assigned when the employment contract is terminated with him at the initiative of the enterprise.

In all other cases, except for the severance pay, the employee has the right to receive his earnings for the hours actually worked. And also, to receive compensation for all unused vacations at this enterprise.

When issuing an order for the dismissal of an employee, it should be indicated that he is entitled to severance pay in a certain amount. But this is an optional requirement and is optional. Indeed, even if the employer did not indicate the size of the severance pay in the order, he still must pay it to the employee.

The manager has the right to severance pay upon dismissal, in connection with a change in the owner of the enterprise, or for other reasons that do not depend on him. Sometimes an agreement with a manager may contain provisions stating that when early termination contract initiated by the employee himself, he does not have the right to claim all types of compensation. And sometimes, he must also pay the company and a penalty if his actions affected the well-being of the company.

The situation is different with the dismissal of employees of the prosecutor's office, police, civil service, judges. There are specialized regulatory legal acts, which provide not only the amount of severance pay, but also an increase or decrease in this amount, depending on the reason for the resignation of a civil servant.

Severance pay is monetary compensation paid to an employee on the last working day, as determined by the Labor Code of the Russian Federation or the terms of a collective agreement. The amount of the benefit is not specifically indicated, it depends on the grounds for dismissing the employee. Naturally, in addition to the severance pay, the quitting employee must be paid wages and compensation for the vacation days that he did not take off. But that's a completely different story.

Grounds for dismissal and amounts of accrued severance pay

If the reason for the dismissal of the employee is the termination of the employment contract associated with the reduction of staff or the liquidation of the organization, then he must be paid an average salary within two months (for the first month it is mandatory, for the second if the employee is not able to find a job at that time). If an employee turns to the employment service within two weeks after being fired and they cannot be employed there for the next month and a half, then he will be paid the average earnings for one more month.

The payment of a severance pay to an employee in the amount of two weeks' earnings is provided in cases when he is dismissed on the following grounds:

The employee does not correspond to the position held or the work performed for health reasons;

The conscription of an employee to serve in the army or to replace it with alternative service;

If the employee refused to transfer related to the relocation of the employer to another region.

All these grounds are spelled out in the relevant clauses of the articles of the Labor Code of the Russian Federation.

The legislation provides for the payment of severance pay to an employee in the amount of his monthly salary in the event that the employment contract was terminated due to violation of the rules for its conclusion. But only in cases where such violations do not allow the employee to fulfill his job duties, and there is no fault of his in the admission of such violations.
An employment or collective agreement provides for other cases for the appointment and payment of severance pay, and also allows the establishment of their increased size.

Severance pay for certain categories of workers

Separate rules and procedures for the payment of severance pay are established for some categories of workers. So, a civil servant must be paid the average earnings for the last three months for his position in cases where the dismissal is associated with liquidation government body where he served or downsized. This is excluding severance pay. Moreover, if a civil servant could not be provided with a job corresponding to his profession and qualifications, then he will be listed in the reserve of the register of civil servants, and the civil service experience will be considered continuous for one year.
It should be added that collective agreements can only improve the legal status of the employee, but not in any way worsen it in relation to those provided for in Labor Code and other regulations governing labor law.

This means that the Labor Code of the Russian Federation and other legislative acts regulating a specific area of ​​labor activity have established the minimum allowable amount of severance pay. And the maximum amount of the benefit is determined by a collective agreement or a separate agreement.

In conclusion, it should be noted that severance pay equal to three months' average earnings is not subject to personal income tax. If the amount of the payment has exceeded this value, then income tax is charged for an amount exceeding the established limit.

For the category of workers performing labor duties in the Far North and those equated to them, the non-taxable limit has been doubled and amounts to six average monthly wages.

Severance pay on dismissal - grounds for payments

In what cases is severance pay paid upon termination of employment? An allowance in the amount of average earnings (per month) is paid to the dismissed employee upon termination of the contract due to the reduction of the organization's staff or in connection with the liquidation of this organization. At the same time, the employee retains the average salary for the period of employment (the period is no more than two months, starting from the day of dismissal).

And the severance pay, the amount of which is equal to two weeks' earnings, is paid to the employee upon termination of the contract under such conditions as:

Refusal of an employee to be transferred to another job.

Draft for military conscription.

On-site reinstatement of an employee who previously performed this work.

Recognition of incapacity for work.

Refusal of an employee to continue working.

Severance pay for redundancy - what does the Labor Code say?

The Labor Code of the Russian Federation guarantees each employee a severance pay for redundancy. That is, the employer has no right to “get out” of benefits. Upon termination of employment for this specific reason, and not, for example, by agreement of the parties, the employee has every right to demand payment, and the employer is obliged to pay benefits.

The severance pay for the reduction of staff is paid in an amount equal to the average earnings. As for the second severance pay, it can be received in the second month if the employee is not employed.

The employee who is busy on seasonal work, must receive severance pay of the Russian Federation in an amount equal to two weeks' earnings.

An employee with whom a contract was concluded for a period of up to 2 months does not receive severance pay, unless otherwise provided by the contract.

Calculation of severance pay upon dismissal or redundancy

Upon dismissal (reduction), the severance pay is calculated according to a certain formula:

The average earnings per working day are multiplied by the number of working days that are included in the benefit period. As for the average daily earnings, it is calculated not for a calendar day, but for a working day. The number of working days is counted according to the production calendar (the more days off, the less the allowance will be). Taxes are not deducted from this type of benefit.

Average earnings are calculated as follows: the salary for the year before the month in which the dismissal occurred (and excluding sick leave / vacation pay, etc.) is divided by the number of working days for a given period, according to the production calendar.

Severance pay - how not to be fooled?