[EMPLOYER GUIDE] 1 resource, 50+ African countries: navigate severance & termination across Africa confidently

Terminations are never easy for anyone involved. How you handle them matters: it sends a clear message not only to the departing employee, but also to the rest of your team about how your organisation values its people.
They must also be managed carefully from a legal perspective. Each country has its own labour regulations, and employers must respect local requirements.
In this ultimate employer’s guide, we walk you through the regulations surrounding terminations and severance across Africa.
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Termination requirements |
Severance |
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Article 73-5 of Law 90-11 stipulates that the dismissal of employees without serious misconduct makes them eligible for a leave period, the minimum duration of which is determined by collective agreements or conventions. |
According to Article 73-6 of the same Law during this leave period, the terminated employee is entitled to two cumulative paid hours per day to facilitate their job search within Algeria. |
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· Dismissal on objective grounds requires notifying the Inspectorate-General of Labour, followed by a 30-day notice period. The Inspectorate may intervene after receiving the employer’s notification, in line with applicable legal requirements. · The collective redundancy process under the new General Labour Law involves a 60-day notice period and mandatory notification to the Inspectorate-General of Labour, which may intervene. Note: Certain protected groups, such as employee reps, pregnant women, former combatants, minors, and employees with disabilities receive additional safeguards. |
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Hourly employees are entitled to 15 days’ notice. Employees, workers, and labourers are entitled to one month of notice. Supervisors and executives are entitled to 3 months’ notice. |
Severance Pay is calculated as follows: · First 5 years of employment – 30% of the average monthly salary. · 6-10 years of service – 35% of average monthly salary. · 10+ years of service – 40% of average monthly salary |
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The notice period is as follows: · 2 to 5 years of service, 2 weeks of notice period. · 5 to 10 years of service, 1 month of notice period. · For over 10 years of service, a notice period of 6 weeks is required. Note: Severance is calculated based on the employee’s basic pay at termination, counting full or partial months beyond the first 60. Any unused leave or lawful absence counts toward continuous service. |
Employers must pay severance to employees with 60+ months of continuous service, either every 60 months or at termination, unless the employee is entitled to a pension or gratuity for that period. Service before the law took effect counts from the Act’s start date. |
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The notice period is as follows: · 8 days for hourly workers, · 1 month for regular workers, · 3 months for executives, supervisors, technicians, and similar staff. · Group dismissals require a 30-day notice period. |
Severance pay is determined by collective conventions. |
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Typically, the notice period is determined by collective agreement. As per the Labour Code: · For employees with less than 3 years of seniority, the minimum notice period for termination by the employer is 1 month. · Employees with 3 to 5 years of seniority require a notice period of one and a half months (45 days). · For those with 5 to 10 years of seniority, the notice period is 2 months. · Employees with over 10 years of seniority necessitate a notice period of 3 months. |
If an open-ended contract is ended without giving the required notice, the party responsible must pay the other party compensation equal to the salary and benefits the employee would have earned during the notice period. If a worker (other than a day labourer) is dismissed without gross misconduct, they are entitled to severance pay. The amount is set by contracts or collective agreements but cannot be less than:
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Employers must give at least 40 days’ notice before terminating a contract. The employee has 5 days to respond. If the employer proceeds, they must explain the reasons and give a final 30-day notice. Collective dismissals are allowed due to reduced activity, business closure, restructuring, or economic and technological changes that result in redundancy. |
The Labour Code provides severance pay equal to one month’s pay for each year of service for individual just-cause dismissals or collective redundancies. This amount can be increased by collective agreement. However, a 2016 reform reduced the severance pay from 30 days to 20 days per year of service. For contract termination compensation:
Domestic workers dismissed without just cause receive 30 days’ wages for each completed year of service. If dismissal is unfair, the worker can be reinstated with the same job and seniority. Employers who block reinstatement must pay 40 days’ wages for each full year worked plus a proportional amount for incomplete years. |
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There is no set time – each party is free to terminate at will. |
Severance pay corresponds to a percentage of the monthly overall wages per year of service and is set according to the length of service as follows: · 20% of monthly wage per year during the first 5 years of service · 25% of monthly wage per year from the 6th to the 10th year of service · 30% of monthly wage per year from the 11th to the 15th year of service · 35% of monthly wage per year from the 16th to the 20th year of service · 40% of monthly wage per year after the 21st years of service. |
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The notice period ranges from 8 days to 3 months, contingent upon the employee's tenure. |
Statutory severance pay is not required unless specified in the employment contract or a collective bargaining agreement. |
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Employees receive a notice period ranging from 1 to 2 months, depending on their length of service. Note: If the employment contract is terminated before the employee has actually been able to take his leave, an allowance calculated on the basis of the leave entitlement acquired on the date of expiry of the contract must be paid. |
Employees who have been with the company for at least 2 years when their employment is terminated are entitled to redundancy pay payable by the employer. This indemnity is represented by a percentage of the average gross monthly salary over the last 12 months, excluding family allowance. This percentage is equal to : · 25% per annum for the first five years · 30% per annum for the next five years and · 35% per annum from the eleventh year onwards. |
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The employer must honour the notice period specified in Article 50 and pay any redundancy compensation outlined in the contract, collective agreement, or relevant regulations when dismissal for gross misconduct occurs after the allowed period. |
Termination of an open-ended contract requires the initiating party to give notice and pay redundancy compensation. If no collective agreements exist, the notice period length and redundancy pay rates are determined by decree after consulting the Higher Labour Council, considering employee seniority and job categories. Notice of termination must be given in writing and include the reason for termination. |
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Unless the parties or the collective agreement stipulate a longer period, the notice period is equal to 14 working days as from the day after the notification, where the notice is given by the employer. However, this period can be extended by 7 working days per full year of continuous service. |
If an open-ended contract is ended without just cause, the employee has the right to reinstatement. If not reinstated, they are entitled to damages set by the Labour Court, based on factors like job type, seniority, age, and acquired rights, up to a maximum of 36 months’ pay. If proper notice isn’t given or completed, the responsible party must pay compensation equal to the pay and benefits the employee would have earned during the notice period. |
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If not otherwise specified by the parties or the collective agreement, the notice period amounts to 14 working days from the day following the notification when issued by the employer in writing. Employers must give a valid reason for terminating the employment. Additionally, this period increases by 7 working days for each complete year of continuous service, calculated from start date to start date. |
If the employer ends the contract early, the employee is entitled, subject to court review, to the pay and benefits they would have received until the agreed end date. For mutual termination, the employee’s written consent is required. They receive a severance payment agreed by both parties, based on common practice, along with any legal or contractual entitlements. Employees laid off for economic or technical reasons receive a monthly payment equal to one-third of their category salary, plus non-performance-based benefits, medical costs, and any applicable social security benefits under the collective agreement. |
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The period of notice is as follows: · 8 days, for those with up to 6 months of service · 15 days, for 6 months to 1 year of service · 1 month, for 1 to 6 years of service · 2 months, for 6 to 11 years of service · 3 months, for 11 to 16 years of service · 4 months, for over 16 years of service. |
A fixed-term contract ends automatically at its expiry, with no notice or compensation required. If an open-ended contract ends without proper notice, the responsible party must pay compensation equal to the pay and benefits the employee would have received during the missed notice period. If termination is not the employee’s fault (including cases of force majeure) the employee or their heirs are entitled to severance pay based on length of service. The amount and conditions are set by decree if not covered by a collective agreement. |
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Under the Labour Code, the employer must give 1 month’s notice of termination of a contract to general employees and labourers, and 3 months to supervisors, managers and those in similar positions of responsibility. |
If an employer dismisses a staff representative without the Labour Inspector's approval, they must either reinstate the employee or pay a lump-sum compensation equal to 12 months' salary. This is in addition to any notice period or redundancy compensation owed under the contract or collective agreement. |
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No termination notice is required for fixed-term contracts - the parties (employer and employee) may contractually agree on a time span for notices of termination. For indefinite contracts: |
If the termination is initiated by the employer, the employee shall be entitled to a severance payment equal to one month’s wage for each year of service. |
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In the case of termination of employment without cause, the labour code of 2012 requires that employers provide severance pay equal to 45 days of the employee’s salary for each year of employment. In the case of termination due to economic, technological, or structural causes, at least three months of the employee’s salary is paid if the employee had been continuously employed for at least three years. |
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Unless otherwise stated in the employment contract, the notice period for termination, applicable to both employer and employee, is as follows: Alternatively, the employer may choose to pay the employee a sum equal to the wages they would have earned during the notice period instead of requiring them to work through it. |
An employee whose contract ends under this law is entitled to severance pay. If the employee has worked for one year or more, severance pay is calculated as follows:
If the employee has worked less than one year, severance pay is calculated at the rate of two weeks’ wages per year. The severance pay is based on the employee’s last wage at the time their employment ends. Regardless of the reason for termination, the employee cannot be denied their severance pay. |
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Employees can be dismissed for just cause, and after 2 written warnings, they can be dismissed without compensation. |
If the services of an employee are terminated by his employer, the employee shall be paid, as part of the benefits accruing under his contract of service, a severance allowance amounting to 10 working days’ wages for each completed year beyond the first year that he has been continuously employed by that employer. |
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The notice period ranges from one to three months, depending on the worker's length of service. |
If an employment contract is terminated due to unlawful dismissal, permanent closure of the business, workforce reduction, employer misconduct, or the employee's disability, the employee is entitled to severance pay. The payment starts at 30 days of salary for the first year of service and increases by one-third of a month’s salary for each additional year, up to a maximum of 12 months’ salary. If the termination is due to business closure or workforce reduction, the employee receives an extra 2 months of salary on top of the severance amount. |
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Notice periods are as follows: · Less than 1 year of service: 15 days. · 1 to 3 years of service: 1 month. · 3 to 5 years of service: 2 months. · 5 to 10 years of service: 3 months. · 10 to 15 years of service: 4 months. · 15 to 20 years of service: 5 months. · 20 to 30 years of service: 6 months. |
Redundancy pay is given to any employee dismissed for reasons other than gross misconduct, unless the dismissal happens during the probation period. When calculating redundancy pay or service-related compensation, any part of a year equal to at least 30 days is counted. Collective agreements may offer better terms. |
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Termination period is as follows: · Monthly wage payment: 1 month's notice. · Bi-weekly wage payment for employees with less than 6 years of service: a fortnight's notice. · Bi-weekly wage payment for employees with at least 6 years of continuous service: 1 month's notice. · Weekly wage payment for employees with less than 2 years of service: 1 week's notice. · Weekly wage payment for employees with at least 2 but no more than 6 years of continuous service: a fortnight's notice. · Weekly wage payment for employees with at least 6 years of continuous service: 1 month's notice. |
For fixed-term contracts, severance pay is either a gratuity of at least 25 percent of the basic pay earned during the contract or the retirement benefits from the relevant social security scheme. If a fixed-term contract is terminated early, the employee is entitled to a gratuity of at least 25 percent of the basic pay earned up to the termination date. In other termination cases, severance pay is two months of basic pay for each year of service. This applies if the employee is terminated, dies while in service, or if the contract ends due to business insolvency, winding up, or transfer of ownership. |
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Justifiable reasons for termination are prescribed by the law. Unjustifiable reasons not in line with the law will lead to legal proceedings and most of the time the labour authorities are more sympathetic to the employee. Communication and agreement in writing Involve labour department where necessary. |
The amount and conditions of redundancy pay are negotiated between the employer (or their representative) and the employee or trade union. If there is a dispute, either party can refer the matter to the Commission, whose decision is final unless otherwise provided by law. |
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Except in cases of serious misconduct, employees are entitled to a notice period before termination. The length of the notice period varies based on the employee's occupational category, such as managers, foremen, or general staff. |
An employee who has worked for at least 12 months under the terminated contract is entitled to redundancy pay, as set by the Minister of Labour. No redundancy pay is owed if the employee is dismissed for serious misconduct. |
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Guinea-Bissau |
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Minimum of 30 days |
The employer must pay an employee declared redundant at least fifteen days' pay for each completed year of service as severance. |
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The Labour Code mandates a specified written notice period, unless otherwise outlined in a collective agreement. The prescribed notice periods are as follows: · 7 days' notice for a service duration of less than 6 months · 14 days' notice for a service duration of less than 1 year · 1 month's notice for a service duration of more than 1 year · 3 months' notice for a service duration of more than 10 years |
A worker with over one year of continuous service is entitled to severance pay equal to 2 weeks’ wages for each completed year of service upon termination. Workers dismissed for misconduct are not eligible for severance. The severance is based on the wage rate at termination. This right applies from the effective date of the law. If an employer offers a better separation benefit, they must pay that instead. Workers cannot claim both severance and other benefits unless the employer agrees to pay both. |
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An employer may terminate the employment contract provided they give at least 2 weeks written notice (casual employee) or 4 weeks (salaried employee). |
If an employee is terminated for economic reasons, the employer must give notice and pay severance. The employee is entitled to four weeks of severance pay for each completed year of service. This severance payment is in addition to any other termination benefits required by law or contract. |
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The fixed-term contract shall expire at the end of its duration without the need for a notice or warning. If the contract is indefinite, either party may terminate it after warning the other party with a registered letter with acknowledgment of receipt 30 days prior to the termination. If the warning is addressed to the worker, the employer shall grant the latter daily and for the duration of the warning a minimum period of two hours of actual working hours to search for another job. If the contract is terminated without observing the duration of the warning, the party that terminated the contract shall pay to the other party compensation equal to the wage of the workers for the duration of the warning or the remaining part thereof. |
Upon termination of employment, the worker or employee shall be entitled to a cash equivalent calculated on the basis of his salary for the annual leave he did not enjoy for the interest of work. The worker or employee shall not be entitled to compensation for the leave he did not enjoy if the deferral is at his request, unless it is within 6 months. |
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Dismissal must be in writing or by registered letter with acknowledgment of receipt. The notice period starts from the date the employee receives the letter, which must include the reasons for dismissal. New reasons added later are invalid. |
Unless a contract or collective agreement provides better terms, employees dismissed due to staff cuts or company closure are entitled to redundancy pay equal to 10 days’ salary per year of service, capped at 6 months’ salary. This payment is based on the final salary and includes all benefits, but is separate from notice pay, compensation for unfair dismissal, or payment for unused leave. |
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There is no set time – each party is free to terminate at will. |
At termination, the employee is entitled to a severance allowance as agreed in the employment contract or collective agreement. This amount must be at least equal to the cost the employer would have incurred to provide the benefit in kind. |
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In the absence of collective agreements or decrees, the notice period is as follows: · 8 days for daily or weekly wage earners. · 1 month for monthly wage earners. · 2 months for supervisors and equivalent positions. · 3 months for executives and managerial staff. |
If an employee is dismissed for economic reasons, they receive a tax-free allowance equal to one month’s gross salary, in addition to notice and redundancy pay. They also get priority for rehire in the same role at the company for two years. |
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The notice period before dismissal depends on the employee’s category:
During the notice period, employees are allowed 2 hours off each workday to search for a new job. The scheduling of these hours is decided by mutual agreement. If no agreement is reached, the time is split between the employee’s and employer’s choice. If the employer asks the worker not to take this job search time, the employee must be compensated for the unused hours when leaving. In cases of gross misconduct, the contract can be terminated immediately without notice, but this is subject to court approval. |
When an employer dismisses a worker who has completed the required period of continuous service, the worker is entitled to severance pay in addition to notice. Employees who have been rehired after previous layoffs due to workforce reductions are also entitled to redundancy pay, with any previously received amounts deducted. By agreement, employees may waive the payment and keep their seniority for future employment with the same company. Severance pay is based on a percentage of the employee’s average monthly salary over the last 12 months, excluding reimbursements:
Partial years are also counted. No redundancy pay is owed if dismissal is due to gross misconduct. In collective redundancies, the rate increases to:
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The Labour Code mandates a specified written notice period, unless otherwise outlined in a collective agreement. The prescribed notice periods are as follows: · 7 days' notice for a service duration of less than 6 months. · 14 days' notice for a service duration of less than 1 year. · 1 month's notice for a service duration of more than 1 year. · 3 months' notice for a service duration of more than 10 years. |
If a worker has been continuously employed for at least 12 months, and the Court finds the termination was unlawful, unjustified, or could have been avoided, it may award severance pay. The worker is entitled to three months’ pay for every full year of service, and a proportional amount for any additional months. The Court may also order interest of up to 12 percent per year on the severance amount from the date of termination until payment. Severance is based on the higher of the worker’s last full month’s pay or their average monthly pay over the past 12 months, including bonuses and regular payments. |
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Employment contracts may be terminated at the end of any month as follows. For executives and similar according to their seniority, according to their seniority: · Less than 1 year of service: 1 month’s notice · 1 to 5 years of service: 2 month’s notice · More than 5 years of service: 3 month’s notice For employees and workers, according to their seniority: · Less than 1 year of service: 8 days · 1 to 5 years of service: 1 month’s notice · More than 5 years of service: 3 month’s notice |
Employees on indefinite contracts of at least 6 months are entitled to severance pay when their employment ends, unless they are dismissed for gross misconduct. Severance is based on years of service and calculated using average monthly working hours (191 hours):
No severance is paid in cases of gross misconduct. |
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To terminate an employee for just cause, the employer is required to issue a written notice to both the employee and the trade union within 30 days of identifying the issue. The employee then has 15 days to reply, while the trade union is given a further 5 days for consultation. Afterwards, the employer has 30 days to reach a decision. |
If an employee on an open-ended contract is terminated without just cause, they are entitled to compensation equal to 45 days of pay for each year of service, or a proportional amount if they have worked less than a year. When an employment contract is terminated, the employee is entitled to compensation based on their salary level (including seniority bonus):
During contract suspension, employers cannot hire replacements for suspended employees. A collective dismissal occurs when more than 10 employees are terminated at once, or when more than 8 employees (in micro/small companies) or more than 10 (in medium/large companies) are let go over a 3-month period due to structural, economic, technological, or market reasons. |
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1. Periods of notice of termination of employment by either an employee or an employer, must be at least: · 1 day, if an employee has been employed for 4 weeks or less · 1 week if the employee has been employed for more than 4 weeks but not more than 1 year · 1 month if the employee has been employed for more than 1 year. 2. The employer and employee may agree to a longer period of notice, provided that it is of equal duration for both parties 3. Notice must be given in writing with an indication of the reasons (if the termination is by the employer) and the date on which the notice is given. 4. In the case of an employee working: · 4 weeks or less, notice may be given on any working day. · For more than 4 weeks but not more than a year, notice must be given on or before the last working day of the week · For longer than a year, notice must be given on or before the 1st or the 15th day of the month. |
An employer must pay severance to an employee with at least 12 months of continuous service if the employee is dismissed, dies, or retires at age 65. Severance is not owed if the employee is fairly dismissed for misconduct or poor performance, refuses reasonable reinstatement, or rejects similar job terms offered by a surviving spouse, heir, or former business partner within one month of the employer’s death or partnership dissolution. Severance pay is at least one week’s pay per year of service. Service remains continuous in cases of employer death, business transfer, or seasonal work over multiple years. Severance pay does not affect the employee's right to any other payments owed. If the employee dies and has no will, severance must be paid to their spouse, children, or estate, in that order. |
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The notice period ranges between 1 and 3 months |
The employer must pay the employee, during the notice period, compensation equal to their salary, minus any other payments the employee receives due to their absence. For fixed-term contracts, the notice period is the same as for open-ended contracts, but the suspension does not extend the original contract end date. |
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There is no set time – Each party is free to terminate employment at will. |
In cases of redundancy, the Minister may issue regulations requiring employers to pay redundancy allowances when a worker’s employment ends due to redundancy. |
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Notice period in Rwanda is as follows: 15 days for a worker who has worked for less than a year. 1 month for a worker who has worked for more than a year. |
If an open-ended contract is terminated without notice or before the notice period is completed, the responsible party must pay the other party compensation equal to the salary and benefits the employee would have received during the missed notice period. No notice is required in cases of gross misconduct. |
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· The employer must give written notice of dismissal to the employee, stating the reason, at least 60 days before the contract ends. · If this notice is not given on time, the employment does not end immediately. Instead, the employer must pay the employee for the days of notice that were missed. |
When an employment contract ends, the employee is entitled to payment for any unused vacation time, based on how long they worked before termination, along with the related allowance. If the contract ends before the employee has taken vacation time earned at the start of that year, they are still entitled to the pay and allowance for that period. This time also counts toward seniority. If the contract ends before lasting 12 months, the employee is only entitled to vacation pay in proportion to the time worked. This period counts for both pay and seniority purposes. |
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Employees can terminate a contract with 15 days’ written notice, although technicians must provide 2 months’ notice. Employers may terminate employees for just cause with written notice as follows: Executives and similar: 3 months’ notice. Monthly paid white-collar workers, blue-collar workers and permanent hourly, daily, or weekly paid staff: 8 days to 1 month, depending on length of service. |
Workers are generally eligible for severance pay for each year of service of 25% to 40% of their average wages over the past 12 months. The percentage is based on length of service and the collective bargaining agreement. |
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Here’s a simplified version of the text:
If not, the employer must pay one month’s wages instead. |
If a worker challenges their dismissal under subsection (1)(a), the competent officer can decide:
If the dispute falls under subsection (1)(b):
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Employees can be dismissed for just cause, and after 2 written warnings, they can be dismissed without compensation. |
Severance pay ranges between 30 and 40 days per year of service. |
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Somalia |
Either of the contracting parties may terminate a contract of employment by giving written notice as follows: · Not less than 10 days in the case of manual workers · Not less than 30 days in the case of non-manual workers · No notice need be given in case the duration of contract does not exceed 1 month. |
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This depends on the duration of employment: · 0-6 months - 1 week's notice · 6-12 months - 2 weeks notice · More than 12 months - 4 weeks notice |
If an employee is dismissed due to the employer’s operational needs, they are entitled to severance pay of at least one week’s pay for each completed year of service. The Minister may adjust the severance pay amount by publishing a notice in the Gazette, after consulting NEDLAC and the Public Service Coordinating Bargaining Council. Employees who unreasonably refuse suitable alternative employment are not entitled to severance pay. Severance pay does not affect any other payments owed to the employee by law. |
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An employment contract may be ended by either the employer or the employee with the following notice, based on how long the employee has continuously worked:
For fixed-term contracts or contracts for a specific task, the contract ends automatically when the period or task is completed. No notice is required. However, the following exceptions apply:
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An employer must pay severance allowance to an employee who has worked continuously for six months or more if any of the following occur:
Severance is not paid if:
The amount of severance pay is negotiated between the employer and the employee or union. |
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Sudan |
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Employees are generally entitled to severance pay upon termination, with the amount depending on the length of service and other factors. |
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Notice periods vary based on the duration of employment. · Daily workers must receive at least 4 days' notice before termination. · Monthly workers require a 28-day notice period, unless they are in their initial month of employment, in which case the notice period is 1 week. |
Severance pay is equal to at least 7 days of basic wages for each completed year of service, up to a maximum of 10 years. An employer must pay severance if the employee has completed 12 months of continuous service and the employer terminates the employment. Severance is not required if the employee is fairly dismissed for misconduct, or if they unreasonably refuse suitable alternative employment after termination for capacity, compatibility, or operational reasons. Severance pay does not affect the employee’s right to any other payments under the law. |
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All fixed-term contracts automatically terminate upon the expiry of their term or can be terminated by either party serving a minimum notice period as follows: · 1 month for regular workers and employees. · 3 months for employees in supervisory or technical roles. · 5 days for employees paid by the hour. |
Under labour law and the Inter-professional Collective Agreement, employees are entitled to severance pay after 12 months of continuous service with the same employer.
Severance is not paid if the employee is dismissed for serious misconduct or gross negligence. |
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For an employer to end an employee's contract, a substantial and justifiable reason must be provided. Prior to termination, the employee retains the right to appeal their case before a disciplinary council. A written notice period of 1 month is required. |
Employees are eligible for severance pay unless termination is due to misconduct. The calculation for payment involves 1 day's pay for each month of employment, with a maximum severance limit of 3 months' pay. |
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The Act allows an employer to terminate an employment contract by issuing an advance notice of termination or making a payment in lieu of the notice. Thus, an employee is entitled to be given an advance notice of termination or paid an advance salary instead of the notice. The notice period an employee is entitled to depends on the terms of the employment contract but the Act prescribes minimum notice periods. Uganda’s Industrial Court has stressed that an employer must provide reasons for termination to the affected employee. Thus, this provision does not give employers absolute authority to carry out terminations at will. |
Severance allowance must be paid to an employee with at least six months of continuous service if:
The calculation of severance pay shall be negotiable between the employer and the workers or the labour union that represents them. |
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A contract of employment can be terminated according to the specified terms in the contract itself or in any other manner outlined by the Employment Code Act. However, if the employer initiates the termination, they are obligated to provide the employee with reasons for ending the employment contract. Termination of a contract is only permissible with a valid reason, may include factors related to the employee’s capability, conduct, or the operational requirements of the organisation. Terminating a contract based on poor performance or conduct is not allowed without affording the employee an opportunity to present their side. A contract of employment concludes under the following circumstances: · At the expiration of the specified term in the contract. · In the event of the employee's death before the end of the specified term in the contract. · Upon the employee reaching the applicable retirement age, if the contract is of a permanent nature. · In any other lawful manner in which a contract of employment expires or is deemed to expire. |
Employers must pay severance in the following cases:
Severance is not owed to casual, temporary, long-term contract, or probationary employees. The Minister will set the formula for minimum severance calculations. |
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The notice of termination of employment to be given by either party must be: · 3 months for an indefinite contract or a fixed-term contract of 2 years or more. · 2 months in the case of a fixed-term contract of 1 year but less than 2 years. · 1 month in the case of a short-term contract of 6 months or more but less than 1 year. · 2 weeks in the case of a short-term contract of 3 months or more but less than 6 months. · 1 day’s notice in the case of a short-term contract for a period of less than 3 months or in the case of casual/seasonal work. |
When an employee is dismissed, resigns, becomes incapacitated, or dies, they or their estate are entitled to all wages and benefits owed up to that point. This includes pay for unused vacation, notice period, medical aid, social security, and pension. These payments must be made as soon as reasonably possible. Failure to do so is considered an unfair labour practice. These entitlements are separate from any retrenchment package that may be due under section 12C. |
What if you don’t meet these requirements in Africa?
You may face the consequences: fines, demands for compensation, and a stain on your employer reputation.
How to ensure you meet termination and severance requirements across Africa?
Because regulations are constantly changing in abrupt and sometimes radical ways, complying with them becomes a constant, ongoing mission. If you are expanding to multiple African countries, this task gets heavier and more complex than you can handle alone.
An African Employer of Record (EOR) like Africa HR Solutions can relieve you from the burdens of compliance with labour law.
As your EOR in Africa, we also take care of:
- Payroll
- Benefits administration
- Life & health insurance
- And many other services
All while offering you a legal, quick entry strategy into 46+ African countries.
To find out how we can best help you navigate these tricky compliance situations, chat with one of our consultants today.
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