Previous Page  224 / 391 Next Page
Information
Show Menu
Previous Page 224 / 391 Next Page
Page Background

NEWS LETTER 2 0 1 0

210

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.