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How to terminate an EOR Employee?
How to terminate an EOR Employee?

Learn about the common questions regarding termination for EOR employees

Sameer B. avatar
Written by Sameer B.
Updated over a week ago

Termination during the probation period

In most jurisdictions, the employer and the employee have the right to end the employment contract during the probationary period by giving a notice of termination or resignation. The required length of this notice varies according to the employment laws of the country in question. Should the client decide to discontinue the employment agreement during the probationary stage, the client must submit a termination request through the RemotePass platform. RemotePass will evaluate the request and advise on the next steps upon submission.

Termination after the probation period

After the probation period, the employment relationship can be terminated in four ways:

  1. Termination by the employer with cause pertains to situations involving severe misconduct or breaches of conduct by the employee. In most countries, the specific justifications for termination with cause are outlined within labor laws and regulations.

  2. Termination by the employer without cause (at-will termination) is when the employer intends to end the employment contract without a valid reason. Each country has its own set of criteria and regulations governing such terminations. Nevertheless, it's worth noting that this option may only be applicable in some countries. In such cases, RemotePass can give you some guidance and advice.

  3. Resignation by the employee is where the employee seeks to terminate the employment relationship by issuing a resignation notice. All countries have specific notice periods for the employee to serve the employer before the employment relationship ends. When an employee resigns, the process tends to be swifter and typically involves shorter notice periods than when an employer issues a termination notice.

  4. Mutual termination by the employer and employee is where both the employer and employee mutually agree to end the employment relationship. In such cases, the parties enter into a mutual separation agreement, and the employment relationship terminates based on the terms of that agreement.

The termination process outlined above depends on the local laws and regulations of the employee's country of employment. To ensure strict adherence to these legal requirements, RemotePass handles all termination requests.

What are the best practices for handling terminations

Terminations are legally complex and vary by location. Improper handling can lead to legal claims from terminated employees. RemotePass manages terminations on a case-by-case basis.

RemotePass consistently advises an amicable termination strategy to minimize the risk of costly lawsuits and legal claims. This involves providing severance payments following local labor laws, additional payments based on local best practices (if applicable), and obtaining signed waivers to safeguard against potential legal and reputational issues for all parties involved.

Communication with the employee

  • Due to the sensitivity and significant legal risks associated with terminations, the client should refrain from directly informing the employee about the termination or potential termination.

  • Instead, RemotePass will take the initiative and oversee all communications with the employee concerning termination to ensure full compliance with local laws and regulations.

  • Nonetheless, the client will remain engaged and informed throughout the process, with RemotePass providing regular updates to ensure a seamless transition and conclusion of the employment relationship.

How to initiate a termination request

To ensure complete adherence to local labor regulations, RemotePass must assume primary responsibility for all communication with employees regarding terminations. Follow the steps in this guide to Request a Termination of an EOR contract.

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