New Labour Code
From 1 July 2012, a new Labour Code is expected to come into force, including rules for applying the new Code to existing employment contracts.
The Code has not yet completed all the formalities required for it to become law: it has been passed by Parliament and the final text has been signed by the Speaker but it has not yet been signed by the President or published in the Official Gazette. It is, however, available on the Parliament website.
The new Code will apply to employment contracts concluded before it comes into force, with certain qualifications and exceptions:
Notice is governed by the rules in effect when the notice is communicated to the other party Internal policies and undertakings will be treated for the first time as creating binding obligations, with retroactive effect for those adopted before the new Code comes into effect Transfers of undertakings with an effective date of transfer after 15 July 2012 will be subject to the new Code Place of work may no longer be agreed by the parties to be 'variable' after 1 July 2012. Any contract specifying a place of work will be replaced by law with the site where the employee habitually performs his/her duties Extension of probationary periods is only permitted for employment contracts concluded after 1 July 2012 Study contracts and post-employment restrictive covenants will only be subject to the new Code in agreements concluded after it comes into force Disciplinary procedures will be regulated by the rules in force when the misconduct was committed Termination of employment will be regulated by the law in force when the termination notice is communicated to the other party Working hours calculated using a 'timeframe' will be subject to the Code in force when the...
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