NEWS LETTER 2 0 1 0
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reorganization of the organizational and production structure and
management in order to realize the targets of business policy are
considered internal reasons.
Examples of internal reasons are found in doctrine and in German
jurisprudence. In this respect, organizational changes, such as
continuous improvement processes; cessation or alteration of
production; reduction of costs; introduction of new methods of
work, manufacturing, and production; conversion of part time work
to full time work; conversion to shift procedures; reduction of work
hours; increases in work loads; merging of work departments or
areas; offshore outsourcing production, domestic outsourcing, and
subcontracting; decreases in production capacity; closing of all or a
part of the enterprise; maximization of profits; introduction of lean-
management and team work; and the decision of the employer to
decrease the number of employees for an unlimited time in order to
eliminate activities which do not produce net income are taken into
consideration as internal reasons.
2.
The Employer’s Burden Of Proof
A re-employment lawsuit initiated by an employee alleges that
termination of a labor contract is invalid. In such a case, Article 20/2 of the
Law lays the burden of proof regarding the validity of the termination on
the employer’s shoulders. Thus, the employer is obliged to both prove that
(i) he or she has met the requirements as to the form of the termination and
(ii) the termination is based on valid reasons in context.
•
Burden of proof as to form
Pursuant to Article 19 of the law, employers must meet the formal
requirements of (i) termination to be notified by a written notice
and (ii) the mentioned notice to contain the reasons of termination
in an explicit and decisive way. The termination notice must also
explicitly state the intention to terminate the labor agreement and
the termination date. Moreover, the termination notice must be
signed by the employer.
Noncompliance with these formal requirements causes the
termination to be considered invalid.