STA, 17 December 2021 - The Constitutional Court has annulled the provisions of two legal acts that allow employers to dismiss an employee in an unilateral decision without having to justify the reasons for termination of the contract if the employee meets the conditions for old-age retirement.
The country's top court has reviewed the changes to the employment relationships act and the public employees act on proposal of seven representative trade unions and the Advocate of the Principle of Equality.
The unions argued that the provisions were in contravention with international conventions and treaties, noting that the constitution says that all acts and regulations must comply with the principles of international law and international treaties binding on Slovenia.
The Advocate of the Principle of Equality meanwhile challenged the constitutionality of the regulation by arguing that it constituted age-based discriminatory treatment.
The changes looked to allow termination of employment contract without a justified reason for workers who meet the condition for old-age retirement (usually at the age of 60 and with 40 years of pensionable service).
The government argued that the purpose was to make it easier for employers to terminate an employment contract if they decide that they no longer need an employee who is already eligible for a pension.
The Constitutional Court had stayed the implementation of the provisions, which were made part of the government's seventh economic stimulus law, in mid-February.
It said at the time that in the case of older workers, who have more difficulties finding new jobs than their younger peers, the consequence of terminating the employment contract would not only mean losing a job but could also end their careers.
The effects of an ongoing implementation of the potentially unconstitutional provisions would outweigh the effects produced by the staying of the provisions until the court rules on the matter, the court added then.
In the unanimous annulment decision published on Friday, the Constitutional Court said that the relevant convention required that for every dismissal by the employer there must be a serious, substantiated reason justifying the dismissal.
"There must be valid grounds for dismissal related to the ability or conduct of the worker or to the operational needs of the particular employer," the court added.
It noted that the employer not being obliged to explain the cause of dismissal deprived employees of appropriate legal protection in case of termination of employment, as the regulation does not enable the dismissal reason to be tried.
The termination of employment contracts that have been served to employees on this basis, and whose effect was suspended by the court staying the provisions on 18 February, have ceased to be legally valid and effective.
