Employment and employment contracts
The general rules of employment are laid down in legislation, collective agreements and employees’ personal employment contracts. The rules pertain to working hours, annual holidays, wages and the termination of employment, for example. Separate rules exist for officials working for the state, municipalities and parishes.
The purpose of labour legislation is to protect the weaker contracting party, the employee. Practical examples of this include the notice period, the obligation to pay wages for the duration of sick leave, the minimum wages determined in collective agreements and provisions on working hours and occupational safety.
Employees’ rights and responsibilities
Employees have the right to the wages, working hours and terms of employment agreed in the applicable collective agreement and their employment contracts. They also have the right to unionisation and equal treatment at work. Employees must also always receive a written employment contract.
Employees must carry out their work with due diligence and follow their employer’s instructions. They must be loyal to their employers. This means that employees may not disclose information to third parties that is harmful to their employer, or have a secondary occupation that competes with their employer’s business.
Employers’ rights and responsibilities
Employers have the right to supervise the work of their employees by monitoring their working hours and performance, for example. Similarly, employers are responsible for ensuring that the terms and provisions of legislation, the applicable collective agreement and employees’ employment contracts are met.
The minimum employment terms applicable to employment are determined by mandatory provisions in legislation and in universally applicable collective agreements. Employers must at least comply with the provisions of national collective agreements that are considered to apply to each employer’s field of business.
A collective agreement is an agreement between a trade union and an employer or a federation of employers on the minimum employment terms applied in a specific field. All employment contracts and employment in said field must comply with the collective agreement.
An employment contract is a free-form agreement between an employee and an employer that can be fixed-term or permanent. Employment contracts must be in line with the provisions laid down in law and collective agreements.
Addressing employment issues
Matters related to an individual employee are primarily handled between the employee and their supervisor. Employees have the right to request assistance from a shop steward, an occupational safety and health representative or another personnel representative.
Employees who are members of a trade union can request assistance with employment-related disputes from their union.
Occupational safety and health
Employers are responsible for the physical and mental safety of employees when they are at work. This means, for example, that occupational accidents and occupational diseases are prevented as efficiently as possible, that work equipment and protective equipment are appropriate and the employees know how to use them. Compliance with occupational safety and health legislation is monitored by the occupational safety and health authorities of Regional State Administrative Agencies.
Employment disputes at a court
General courts process a variety of employment disputes. Generally, all other employment cases except those related to collective agreements are processed by a general court. In matters related to collective agreements, the competent authority is the Labour Court.
Disputes related to the provisions of the Employment Contracts Act, the Working Time Act or the Annual Holidays Act are processed by district courts. Disputes related to employment contracts between an employee and an employer are also processed by district courts. Employment disputes can also be mediated at the district court or decided in a court hearing as the final solution.