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Ireland Fact-File Part 6:
Individual Business Employment Issues

6.4 Ireland Employee Dismissal Rules

The termination and dismissal of employees

Legislation governing employment law in Ireland has grown apace in recent years, and there are laws and regulations governing areas including: redundancy, parental leave (and adoptive leave), health, safety and welfare at work, carer's leave, the rights of fixed-term and part time workers, the minimum wage, the employment of young people, and various matters relating to equality in the workplace, and the prevention of discrimination on the grounds of gender, marital or family status, sexual orientation, religion, age, race, or disability

The rules governing the dismissal of employees are contained in the Unfair Dismissals Act, and in order to justify a dismissal, an employer must prove that it has come as a result of the employee's conduct, their inability to perform the job, redundancy, or that their continuation in the role would contravene another statutory requirement.

New employees must be informed of the dismissal procedures in place within 28 days of starting the job. Dismissal becomes more complex when an employee has been with their employer for one continuous year, and where lump-sum redundancy payments are provided (assuming the employee is eligible under the Social Welfare Acts; ie is over 16 years of age and employed for 2 continuous years), the requirement is 2 full weeks' of pay per year of service, plus a further week's pay.

Dismissal as a result of race, colour, sexual orientation, trade union activity, pregnancy, or the employee's decision to exercise their right to various types of leave (maternity, parental, carer, force majeure, etc) is judged as unfair dismissal under the act, as is constructive dismissal.

There are, however, various exceptions and provisos to these rules.

 

Introductory Guides

Brief, clearly written summaries with links to relevant sections of the Fact-File. The Fact-File itself is linked in full below.

 

Fact-File

Part 1: Business Formation for Individuals

  1. Ireland Individual Business Structures
  2. Ireland Individual Business Registration
  3. Ireland Individual Business Registration Cost
  4. Ireland Individual Business Licensing
  5. Ireland Foreigners in Business
  6. Ireland Business Organisations
  7. Ireland Business Accounting
  8. Ireland Family Business Ownership
  9. Ireland Venture Capital
  10. Ireland Individual Business Franchises

Part 2: Ireland Individual Business Domestic Taxation

  1. Ireland Individual Business Tax Residence Rules
  2. Ireland Permanent Establishment
  3. Ireland Individual Income Tax Rates and Bands
  4. Ireland Personal Allowances and Business Deductions
  5. Ireland Husband and Wife Partnerships
  6. Ireland Partnership Income Taxation
  7. Ireland Limited Companies Income Taxation
  8. Ireland Business Profit Retention
  9. Ireland Business Losses
  10. Ireland Value Added Tax (VAT)
  11. Ireland Individual Business Capital Gains Tax (CGT)
  12. Ireland Individual Business Other Taxes
  13. Ireland Individual Artists Royalties
  14. Ireland Individual Business Tax-Efficient Profit Distribution

Part 3: Ireland Individual Business International Taxation

  1. Ireland Individual Business International Tax Liability
  2. Ireland Individual Business Withholding Taxes
  3. Ireland Double Tax Treaties

Part 4: Ireland Individual Business Tax-Efficient Structures

  1. Ireland Individual Business Trusts and Foundations
  2. Ireland Individual Business for Non-Residents
  3. Ireland Individual Business use of Offshore
  4. Ireland Controlled Foreign Corporation (CFC) Rules
  5. Ireland Personal Estate and Inheritance Planning

Part 5: Ireland Small Business Incentive Programs

  1. Ireland Small Business Support Schemes
  2. Ireland Training Incentive Schemes
  3. Ireland R&D Tax Credits
  4. Ireland Individual Business Tax Holidays

Part 6: Ireland Individual Business Employment Issues

  1. Ireland Individual Business Employer Responsibilities
  2. Ireland Employment vs Self-Employment Tax Issues
  3. Ireland Apprenticeship and Work Experience Schemes
  4. Ireland Employee Dismissal Rules
  5. Ireland Business Owner Employment and Invoicing Rules

Part 7: Ireland Business Owner Welfare and Lifestyle

  1. Ireland Business Social Security
  2. Ireland Business Domestic Pensions
  3. Ireland Offshore and International Pensions
  4. Ireland Individual Business Healthcare
  5. Ireland Individual Business Banking Services
  6. Ireland Education
  7. Ireland Individual or Business Leaving Ireland
  8. Ireland Domestic Real Estate
  9. Ireland International Real Estate