Collective dismissal is regulated under Article 29 of the Labor
Code, which specifies the procedures that employers should follow
in case they plan terminating employees due to reasons of an
economic, technological, structural or similar nature necessitated
by the requirements of the enterprise, the establishment or
activity.
There are two important criteria to apply for collective
dismissal based on (1) number of employees being terminated and (2)
time period when the terminations are effectuated.
- Criteria regarding the
number of employees
As per Article 29 of the Law Code, a collective dismissal occurs
when,
a) a minimum of 10 employees are terminated in a workplace
where between 20 and 100 employees are employed,