In North Macedonia, the Labor Law outlines the legal requirements for notice periods during employment termination. The duration of these periods varies depending on who initiates the termination and the type of employment contract.

Employee-Initiated Termination Notice Period

An employee intending to terminate their employment contract must provide a minimum of one month's notice. However, a collective agreement or the individual employment contract can stipulate a longer notice period, which cannot exceed three months.

Employer-Initiated Termination Notice Period

The notice period for termination initiated by the employer is more complex. Here's a breakdown:

• Standard Terminations: A minimum notice period of one month applies for most terminations initiated by the employer. Exceptions may apply depending on the circumstances.
• Mass Redundancies: If an employer terminates the contracts of more than 150 employees or 5% of the workforce, the minimum notice period extends to two months.
• Summary Dismissals: In specific situations, an employer can dismiss an employee without a notice period. These situations are considered serious breaches of work discipline or obligations, including unexcused absence from work for three consecutive days or five days within a year, misusing sick leave, violating health and safety regulations, using alcohol or narcotics during work hours, and theft or negligence causing harm related to work.

The notice period always starts on the day following the employee receiving written notification of termination.

In North Macedonia, severance pay is a legal requirement when an employer ends an employment contract due to business-related reasons such as economic difficulties, redundancy, or restructuring. The severance pay amount is determined by the employee's tenure with the company.

Severance Pay Calculation

Severance pay is calculated based on the employee's average monthly salary for the six months prior to termination. According to the Law on Labour Relations, the breakdown is as follows:

• For up to 5 years of employment, the severance pay is 1 net salary.
• For 5 to 10 years of employment, the severance pay is 2.5 net salaries.
• For 10 to 15 years of employment, the severance pay is 3.5 net salaries.
• For 15 to 20 years of employment, the severance pay is 4.5 net salaries.
• For 20 to 25 years of employment, the severance pay is 6 net salaries.
• For over 25 years of employment, the severance pay is 7 net salaries.

Minimum Severance Amount

Regardless of their salary, an employee is entitled to a minimum severance amount. This amount must be at least 50% of the average net salary paid per employee in North Macedonia in the month preceding the termination date.

Payment of Severance

Severance pay must be paid out on the date of employment termination.

Terminating an employee's contract in North Macedonia must adhere to specific legal guidelines outlined in the Law on Labor Relations.

Valid Reasons for Termination

An employer in North Macedonia can terminate an employment contract only for reasons prescribed by law, collective agreement, or the employer's internal acts. Valid reasons generally fall into the following categories:

• Business Reasons: Economic difficulties, technological changes, restructuring rendering the employee's position redundant.
• Employee's Inability to Perform: Due to lack of qualifications, skills, or work results
• Employee Conduct: Serious breaches of work duties, discipline, or safety regulations.
• Other Reasons: As stipulated by law (e.g., retirement age)

Written Notice and Termination Decision

Termination must always be communicated through a formal written decision. The decision must include the following:

• Reason for termination: Clearly stating the legally valid reason.
• Justification: Evidence or explanation supporting the reason for termination.
• Legal Remedies: Information on the employee's right to challenge the termination.
• Unemployment Rights: Details regarding the employee's unemployment insurance rights.

Consultation with Workers' Council

If the company has a Workers' Council, the employer may be obligated to consult with it before issuing a termination notice, depending on the circumstances and number of employees affected.

Termination Delivery

The written termination decision must be delivered to the employee in person, either at the employer's premises or the employee's residence.