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French Polynesia

Termination and Severance Policies

Learn about the legal processes for employee termination and severance in French Polynesia

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Notice period

French Polynesian labor law stipulates notice periods during employment termination to facilitate a smoother transition for both parties involved. The specific duration of the notice period is contingent on several factors.

Minimum Notice Periods (By Employee Category)

In the absence of a written employment contract, collective bargaining agreement, or company policy specifying a longer period, the minimum notice period is determined by the employee's category and seniority.

For employees with less than five years of service:

  • Workers and monthly paid employees: 1 month
  • Supervisors, technicians, and similar roles: 2 months
  • Managers and similar roles: 3 months

For employees not paid monthly, the notice period must be at least as frequent as their salary payments, with a minimum of 7 days.

Notice Periods in Employment Contracts

Employment contracts can stipulate a longer notice period than the minimum legal requirements, providing the employee with additional time to secure new employment.

Exceptions: Immediate Termination

In certain circumstances, immediate termination without a notice period may be permissible. This typically applies to cases of severe misconduct by the employee, such as theft, violence, or insubordination. However, employers must have documented evidence to justify immediate dismissal.

Severance pay

In French Polynesia, employees who have served for a minimum of one year continuously are entitled to severance pay when their employment is terminated. However, there are certain exceptions to this rule as per Article Lp. 1455-1 of the French Polynesian Labor Code. The purpose of this compensation is to assist the employee during their job search.

How Severance Pay is Calculated

The severance pay is calculated based on the employee's length of service and their average monthly gross salary. This includes benefits, bonuses, and commissions, over the final 12 months of employment as per Article Lp. 1455-2 of the French Polynesian Labor Code. For employees who have served between 1-10 years, the severance pay is 1/10 of the monthly salary per year of service. For those who have served for over 10 years, the severance pay is 1/10 of the monthly salary per year for the first 10 years, and 1/15 of the monthly salary per year for each additional year.

Exceptions to Severance Pay

Employees who are dismissed for gross misconduct or those who resign voluntarily are not entitled to severance pay as per Article Lp 1455-6 of the French Polynesian Labor Code.

Termination process

In French Polynesian law, permissible termination types include dismissal for personal reasons, dismissal for economic reasons, resignation, and agreed termination.

###Dismissal for Personal Reasons This type of termination is based on the employee's actions or misconduct, such as serious or gross misconduct, repeated instances of misconduct, or professional incompetence affecting the business.

####Pre-Dismissal Procedure The pre-dismissal procedure involves three steps:

  1. Convocation Letter: The employer sends a letter summoning the employee to a pre-dismissal interview, stating the reasons for potential dismissal. There's a mandatory waiting period between sending this letter and the interview.
  2. Pre-Dismissal Interview: The employer explains the grounds for dismissal and allows the employee to provide justifications or defenses.
  3. Notification Letter: After the interview, the employer has a time period to consider. If dismissal is still intended, a termination letter is sent to the employee by registered mail with acknowledgment of receipt. This letter must detail the precise reasons for the dismissal.

###Dismissal for Economic Reasons This type of termination is related to the company's financial health or necessary restructuring. Strict regulations govern the process, with priority given to reclassification within the company or group. Consultation with employee representatives is required, and dismissal letters must state the specific economic reasons substantiating the decision.

###Resignation This is a voluntary termination of employment by the employee.

###Agreed Termination This is a mutually agreed upon separation between employee and employer.

###Prohibited Grounds for Dismissal French Polynesian law prohibits dismissals based on discrimination (e.g., gender, race, religion), pregnancy, or union activity.

###Special Protections Additional protections may apply to specific categories of employees, such as employee representatives.

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