OLEP4CL Part IV - Termination of Contract (By Employer and By Worker)
Termination of Contract
Q: When is a contract of employment deemed terminated?
A: An employment contract is deemed terminated in the following events:
a) Expiration of the term or period of contract and the worker express his intention not to renew it. b) Force majeure; c) Death of the worker; d) Death of employer in certain cases; e) When the workers attain the age of retirement; f) Total disability of worker to perform work; and g) Pre-termination of contract by either party.
Pre-termination includes the following:
1. If both parties agree to terminate the contract, provided that the worker’s consent be in writing.
2. Upon the request of one of the two parties in case of contract of unspecified term.
3. Termination by the employer or worker for authorized causes;
4. Resignation by worker;
5. Serious illness of worker resulting in long absence from work;
6. Bankruptcy, dissolution and authorized shutdown of employer’s business, and other cases. (Arts. 74,77, 79 , 80, 81, 82, , 84, ).
I. VALID GROUNDS FOR TERMINATION BY EMPLOYER