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Rivermate | Greenland

Termination in Greenland

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Understand employment termination procedures in Greenland

Updated on April 27, 2025

Navigating employment termination in Greenland requires a clear understanding of local labor laws and established procedures. Both employers and employees have specific rights and obligations that must be adhered to when ending an employment relationship. Proper handling of termination ensures compliance, minimizes legal risks, and supports a fair process for all parties involved.

Understanding the legal framework governing notice periods, grounds for dismissal, required procedures, and potential severance entitlements is crucial for employers operating in Greenland. This knowledge helps prevent common pitfalls and ensures that terminations are carried out lawfully and ethically, whether initiated by the employer or the employee.

Notice Periods

The required notice period for terminating an employment contract in Greenland typically depends on the employee's length of service with the company. These periods are minimum requirements and may be extended by individual employment contracts or collective agreements.

Employee Tenure Minimum Notice Period (Employer) Minimum Notice Period (Employee)
During probation As per agreement (often 14 days) As per agreement (often 14 days)
Up to 6 months 1 month 1 month
6 months to 3 years 3 months 1 month
3 years to 6 years 4 months 1 month
6 years to 9 years 5 months 1 month
9 years or more 6 months 1 month

Notice periods generally run from the end of a calendar month. For example, if notice is given on January 15th, a one-month notice period would typically end on February 28th (or 29th).

Severance Pay

Severance pay entitlements in Greenland are primarily linked to the employee's length of service and the reason for termination. Severance is typically applicable in cases of termination without cause by the employer, particularly for employees with significant tenure.

Employees terminated by the employer without cause may be entitled to severance pay based on their length of service:

  • After 12 years of continuous employment: Entitlement to 1 month's salary.
  • After 15 years of continuous employment: Entitlement to 3 months' salary.

This severance is in addition to the salary paid during the notice period. Severance pay calculations are based on the employee's regular salary at the time of termination.

Grounds for Termination

Termination of employment in Greenland can occur for various reasons, broadly categorized as termination with cause or termination without cause.

  • Termination Without Cause: This is the most common type of termination initiated by the employer due to reasons related to the company's operational needs, such as restructuring, redundancy, or economic downturns. It requires adherence to the statutory notice periods and may trigger severance pay obligations for long-serving employees. The reasons must be objective and justifiable.
  • Termination With Cause (Summary Dismissal): This occurs when an employee is dismissed immediately without notice due to a serious breach of contract or misconduct. Examples include gross insubordination, theft, violence, or repeated serious violations of company policy after prior warnings. The grounds for summary dismissal must be severe enough that it would be unreasonable to expect the employer to continue the employment relationship, even for the duration of a notice period.

Termination Procedure

A lawful termination process in Greenland involves several key steps to ensure fairness and compliance. Failing to follow the correct procedure can lead to claims of unfair dismissal.

Step Description Documentation Requirements
Reason for Termination Establish clear, objective, and justifiable grounds for termination. Internal documentation outlining reasons, performance records, warnings (if applicable).
Consultation (if applicable) In some cases (e.g., redundancy), consultation with employee or union may be required. Minutes of meetings, correspondence.
Written Notice Provide the employee with a formal written notice of termination. Termination letter.
Content of Notice The notice must state the effective date of termination (end of notice period) and the reason(s) for termination. Termination letter.
Delivery of Notice Ensure the notice is delivered effectively (e.g., hand-delivered with receipt, registered mail). Proof of delivery.
Payment of Final Dues Calculate and pay final salary, holiday pay, and any applicable severance. Final payslip, calculation details.
Issuance of Certificate Provide the employee with an employment certificate upon request. Employment certificate.

Common pitfalls include failing to provide a written notice, not stating the reasons for termination, miscalculating notice periods or severance, and terminating without sufficient grounds or evidence, especially in cases of summary dismissal.

Protection Against Wrongful Dismissal

Employees in Greenland are protected against unfair or wrongful dismissal. A termination may be considered wrongful if it is not based on valid grounds or if the correct procedure is not followed.

Grounds that are typically considered unfair include termination based on:

  • Membership in a union or employee representation activities.
  • Pregnancy or parental leave.
  • Illness or disability (unless the illness prevents the employee from performing their duties and reasonable accommodations are not possible).
  • Discrimination based on race, religion, gender, sexual orientation, political opinion, etc.

If an employee believes they have been unfairly dismissed, they may challenge the termination through their union or by seeking legal counsel. If a dismissal is found to be unfair, the employer may be ordered to pay compensation to the employee, in addition to any notice period salary or severance pay. The amount of compensation depends on factors such as the employee's length of service, age, and the circumstances of the dismissal.

Martijn
Daan
Harvey

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