If you are dismissed due to staff reduction in 2019, you must calculate compensation, severance pay and earnings during employment. The list of benefits that an employee may qualify for depends on the reason for dismissal. We will show you how to calculate payments with examples, and we will analyze in detail the rules for registering redundancy.
Deviation from the reduction procedure will be the basis for reinstatement of the employee with payment for forced absence >>>
What payments to calculate when an employee is laid off in 2019 under the Labor Code
In 2019, officials did not make any changes to the composition and procedure for assigning payments when laying off workers. Last changes covered only the grounds for dismissal. Officials have banned dismissal for a fake diploma and the termination of a contract with a pregnant woman, even if she misses work without good reason.
If the employment contract is terminated due to staff reduction, the dismissed employee, in addition to wages and compensation for unused vacation is due three more payments:
- compensation in case of early termination employment contract;
- severance pay;
- earnings during employment.
Special guarantees for redundant employees may be established in industry agreements. However for commercial organizations such agreements are binding only if they join them (Article 48 of the Labor Code of the Russian Federation). For current industry agreements, see table.
How to calculate compensation due to early termination of an employment contract during layoffs
According to the general rule about the upcoming termination labor activity In connection with a reduction in the number of employees, the employer is obliged to notify the employee at least two months before last day work in accordance with Article 180 of the Labor Code of the Russian Federation.
At the same time, the parties can agree that the employee will not work the required two months, but will quit earlier. Officials have provided for this procedure in the Labor Code, but the employee must give his written consent. In this case, the employee is entitled to an additional amount of money - compensation upon dismissal due to staff reduction in 2019.
Payments are calculated for the period from the date of dismissal until the date when two months expire from the date of warning. But we note: dismissing an employee early is the employer’s right, not an obligation. If a manager is fired, then compensation is paid in the amount specified in the employment contract with him, but not less than three times the average monthly salary (Article 279 of the Labor Code).
An example of calculating severance pay and compensation for dismissal of an employee before the expiration of the warning period about the impending liquidation of the organization:
In January, the organization's management decided to liquidate and dismiss employees in March. On January 14, storekeeper P.A. Bespalov was informed of his upcoming dismissal, scheduled for March 20.
On January 29, Bespalov was offered to resign on January 30 (i.e., earlier than the scheduled day). Bespalov agreed to his dismissal.
Upon dismissal he was paid:
- severance pay;
- compensation.
Bespalov's average daily earnings is 1,313 rubles/day.
The accountant calculated the severance pay for the first month after dismissal - from January 31 to February 28. In this period, according to Bespalov’s work schedule (five-day work week), there are 19 working days. The severance pay amounted to 24,947 rubles. (1313 RUR/day × 19 days). It was paid to the employee on the day of dismissal, January 30.
Bespalov is entitled to compensation for the period from January 31 to March 20 inclusive. This time period is 33 working days. The amount of compensation was:
1313 RUR/day × 33 days = 43,329 rub.
total amount payments to Bespalov on the day of dismissal were:
RUB 24,947 + 43,329 rub. = 68,276 rub.
How to calculate severance pay when an employee is laid off
When an employment contract is terminated due to staff reduction, the dismissed employee is entitled to severance pay in the amount of average monthly earnings (Article 178 of the Labor Code of the Russian Federation). Moreover, this amount is paid to the employee even if he finds a job the next day after the termination of the employment contract with your company.
Severance pay in the amount of average monthly earnings is the minimum limit. At the same time, the average monthly salary of an employee who is billing period worked the full standard working time, cannot be less than one minimum wage. After all, such a minimum is established for wages (Article 133 of the Labor Code).
Nina Kovyazina answers,
Deputy Director of the Department medical education and personnel policy in healthcare of the Russian Ministry of Health
Even a working pensioner is entitled to severance pay due to staff reduction. Pensioners have the same rights and responsibilities as other employees of the organization.
Calculate severance pay upon dismissal due to staff reduction in 2019 using the formula:
How to calculate average earnings for the period of employment when an employee is laid off
The employee retains his average monthly salary for the period of employment, but not more than two months from the date of dismissal. Moreover, this amount takes into account the amount of severance pay already paid.
Sometimes the average monthly salary is maintained during the third month from the date of dismissal. Such a decision is made by the employment service if the employee registered at the labor exchange within two weeks, but did not return to work three months after dismissal (Article 178 of the Labor Code of the Russian Federation). For payment you will need a certificate from the employment service.
Calculate the average earnings for the period of employment for the second and third months using the formula:
An example of calculating the payment of average earnings for the period of employment. The employee got a job new job in the middle of the second month after dismissal:
In the organization P.A. Bespalov works as a storekeeper, his salary is 20,000 rubles. per month. On January 12, he was fired due to the liquidation of the organization. Therefore, Bespalov is entitled to:
- severance pay;
- average earnings for the period of employment.
Bespalov's severance pay was paid on the day of his dismissal - January 12. To determine severance pay, the calculation period is the time from January 1 to December 31 of the previous year. Bespalov's earnings for this period amounted to 240,000 rubles. (RUB 20,000/month × 12 months). During the pay period he worked 247 days.
Bespalov's average daily earnings were:
240,000 rub. : 247 days = 971.66 rub./day.
In the first month after dismissal (from January 13 to February 12) there are 23 working days. The severance pay was:
23 days × 971.66 rub./day = 22,348.18 rub.
The day after his dismissal, Bespalov registered with the employment service.
During the first month after his dismissal (from January 13 to February 12), Bespalov was unable to find a job. To maintain the average earnings for the first month after dismissal, the accountant offset the amount of severance pay paid in connection with the dismissal.
During the second month (from February 13 to March 12) after his dismissal, Bespalov got a new job. Employment date is March 1st. In the second month after his dismissal, from February 13 to February 28 inclusive, the number of days during which Bespalov was listed as unemployed was 11 working days, which confirms the lack of records in work book. On March 2, he was paid the average salary for 11 working days. The amount of average earnings for the period of employment for the second month after dismissal was:
11 days × 971.66 rub./day = 10,688.26 rub.
Features for the Far North
Payments when laying off an employee in 2019 in the Far North and equivalent areas are greater than in others Russian regions. The fact is that these companies can maintain the average salary for the employee during the fourth, fifth and sixth months. This is also done by decision of the employment service. But provided that within a month after dismissal, the employee applied to this service, but he was not employed (Article 318 of the Labor Code of the Russian Federation).
Average earnings for a period of employment of up to three months (including severance pay) are retained for employees who work in the Far North and equivalent areas upon dismissal due to:
- liquidation of the organization;
- staff reduction.
Unlike general rule, to maintain average earnings for the third month of employment, such employees do not need a decision from the employment service. In addition, the average earnings in these cases can be retained for such employees for a period of up to six months based on the decision of the employment service. This is possible if, within a month after dismissal, the employee contacted this service, but was not employed by it.
Calculation of dismissal payments for staff reduction in 2019
Payments when laying off an employee in 2019 are calculated based on average earnings. First, take all accruals in the billing period. This is the 12 calendar months that precede the dismissal. Do not include amounts not related to wages in the calculation. That is, financial assistance, payment of the cost of food, travel, training, utilities and there is no need to take rest into account.
During 12 months, the employee could be on vacation, sick, not working due to downtime, or on a business trip. This time is excluded from the billing period. Accordingly, they are not taken into account when calculating average earnings and accruals for these periods.
Note that severance pay is calculated based on the work schedule of the specific employee who was decided to be fired. In the same way, severance pay is paid to an employee who is assigned a part-time work week. If you still have questions about the calculation, enter it in the search bar below and get an answer in the Glavbukh System.
How to formalize the dismissal of an employee during staff reduction in 2019
When dismissing an employee due to a reduction in numbers or staff, it is necessary to comply with the legally established procedure for such dismissal (Articles 179 and 180 of the Labor Code of the Russian Federation). Any violation may become a reason for the employee to be reinstated at work with payment for forced absence (Article 394 of the Labor Code of the Russian Federation).
When resigning, follow these steps:
- issue an order to reduce the number or staff;
- determine whether any employee has a preferential right to remain at work;
- create a list of employees (positions) to be laid off;
- notify the employee of the upcoming dismissal;
- offer the dismissed person another vacant position;
- arrange the transfer of those who accepted the vacancy;
- report the upcoming layoff to the trade union and the employment service;
- agree with the trade union on the decision to dismiss trade union members;
- pay severance pay and compensation;
Penalties for late transfer of payments upon dismissal
An employer who fails to pay the required amount to a dismissed employee on time or pays less will be fined by inspectors under Part 6 of Article 5.27 of the Administrative Code. For entrepreneurs, the fine will be from 1,000 to 5,000 rubles, and for companies from 30,000 to 50,000 rubles.
In addition to the fine, the employer must pay the employee interest for the delay (Article 236 of the Labor Code). Its size is 1/150 of the key rate. Compensation will begin to be calculated from the next day after the due date for payment until the day of actual settlement, inclusive.
In accordance with the norms of the labor legislation of the Russian Federation, the calculation of benefits upon dismissal due to staff reduction is due to all employees with whom the employment contract is terminated. How many months are such payments issued for? How to calculate severance pay upon liquidation of an enterprise? Let's consider legal features using typical examples.
Calculation of severance pay for staff reduction - 2018
According to Art. 178 Labor Code, if the employment contract with an employee is terminated due to staff reductions company or liquidation of a business, dismissed personnel must be paid severance pay. The amount is equal to average earnings for 1 month, in addition, they retain another similar payment within two months, for the period of employment. In some cases, payments are extended for a third month. At the same time, in order to receive additional benefits, a specialist must register with the territorial division of the Employment Center (Employment Center) within two weeks from the date of dismissal. Another mandatory condition is the absence of the fact that the individual is employed.
Other reasons for terminating an employment contract oblige the employer to pay not the average monthly benefit, but a two-week benefit. In this case, the average earnings are also taken, but not for the whole month, but only for half. Similar grounds for termination of employment relationships include (Part 3 of Article 178 of the Labor Code):
- Refusal of a specialist to transfer via medical indications to another position or the lack of conditions in the organization for such translation.
- Calling up an employee for government military service(alternative civilian).
- Refusal of a specialist to be transferred together with the employer to another location.
- Reinstatement previously employed employee.
- Refusal of a specialist to perform labor duties due to changes in the terms of the employment contract.
- Removal of an employee from a position based on a medical report.
Note! Local regulations of an enterprise may also provide for other options for calculating and issuing severance pay, including increased amounts.
How is severance pay calculated when dismissing staff?
Next, we’ll figure out how to calculate severance pay when laying off staff. Payment of motivational sums is made by the employer on two grounds - when staff are reduced or the enterprise is completely liquidated. In these cases, the calculation of redundancy benefits and the calculation of severance pay during liquidation are performed using the same algorithm.
First you need to calculate the average daily salary. What amounts are taken into account? According to clause 2 of Government Resolution No. 922 of December 24, 2007, this is the amount of wages, bonuses, additional payments , allowances and other payments that were accrued to the employee for the performance of labor duties. The billing period is recognized as the year (12 months) preceding the billing month of the specialist’s dismissal. If a person is fired on the last date of the month, then this full month is also included in the calculation (Rostrud letter No. 2184-6-1 dated July 22, 2010).
In order for the calculation of severance pay in case of staff reduction to be carried out correctly, business trip periods, as well as days of incapacity for work, should be excluded from the days of the calculation period. vacations, exemption from employment (clause 5 of the Regulations under Resolution No. 922). Accordingly, payments for such days are deducted from the amount of earnings (clause 3 of the Regulations). After determining the average daily earnings, this indicator is multiplied with the number of days of work in the first month after dismissal (clause 9 of the Regulations).
How to calculate two-week severance pay upon dismissal
To know how to calculate severance pay in the event of a layoff based on Part 3 of Art. 178 of the Labor Code, you must follow the above procedure. This action mechanism also includes determining the average daily earnings, which is then multiplied by the number of days worked in the 2 weeks after the date of dismissal. Below we give an example of how severance pay is calculated in the event of a layoff.
An example of calculating severance pay for layoffs
Let's say manager Ivanov I.P. laid off on November 15, 2017. The company has salary system, the employee’s salary is 45,000 rubles. How to calculate redundancy benefits for the first month if there were no excluded days? Algorithm of actions:
- The billing period is from 01.11.16 to 31.10.17.
- The number of days of work for the period is 248 days. according to the accounting sheet.
- Total earnings for the period – 12 months. x 45,000 rub. = 540,000 rub.
- Average daily earnings – 540,000 rubles. / 248 days = 2177.42 rub.
- The amount of benefit for 1 month is 2177.42 rubles. x (11 days + 11 days – for the period from 11/16/17 to 12/15/17) = 47,903.24 rubles.
Severance pay upon dismissal due to disability - calculation
If a disabled person is awarded severance pay upon liquidation of an organization, how to calculate such payment? The grounds for terminating an employment contract with a disabled person are listed in Art. 83 and 178 TK. To receive compensation, an individual must present a medical report and a certificate of disability. The payment of the benefit amount is due 2 weeks in advance (in case of dismissal under Part 3 of Article 178) or 1 month in advance (in case of dismissal under Part 1 of Article 178). The calculation algorithm corresponds to general order accrual of severance pay according to Resolution No. 922.
Dismissal due to staff reduction is a situation from which no one is immune. If the relationship between the employee and the employer is officially registered, the procedure is carried out in accordance with the norms of labor legislation, and the dismissed person is entitled to special payments upon layoff.
Payments upon layoff
In case of forced dismissal, the law protects the rights of the citizen. First, employees must be notified of the upcoming event 2 months in advance so that they have time to look for a new job. Secondly, the employer is obliged to provide financial assistance in the form of certain payments.
Salary and vacation pay
The first thing that is awarded to a fired person is payment for the actual hours worked, which he did not receive. In some cases, bonuses are issued if this is supported by local documentation.
If the employee does not take advantage of the right to annual leave, basedArt. 127 Labor Code of the Russian Federation. The total amount depends on:
- on the duration of the vacation period;
- time elapsed since the last vacation;
- wages.
IMPORTANT! Compensation for unused vacation is calculated as for a whole year if the citizen worked from 5.5 to 11 months in the year of layoff. The situation is regulated recommendation Federal service employment and labor dated 04/19/2014.
A tax of 13% will be withheld from both payments.
Severance pay
Such financial support is not always provided. The benefit is paid only in cases established in paragraphs 1 and 2 of Art. 81 Labor Code of the Russian Federation.
Its size according to Art. 178 Labor Code of the Russian Federation, corresponds to average monthly earnings, but not lower than the minimum wage. And according to clause 2 art. 217 Tax Code of the Russian Federation not subject to 13%. If an employee has not worked for the organization for one year, the amount due is determined taking into account the days actually worked.
IMPORTANT! The employer must pay this compensation to the citizen, even if he has a new job.
Second and third month
Payments in case of layoff of an employee during these periods are accrued if he/she registered for unemployment within two weeks after the termination of the employment contract and objective reasons didn't find a job. Compensation is made at the expense of the employer in the amount of the average salary or established salary.
An employee on his own initiative does not have the right to demand a third redundancy payment. This can only be done by the Employment Service and only for persons registered with it. Payment for the third month of absence from employment is the last one.
Calculation procedure
Severance pay is calculated in two stages. At the first stage, average earnings (Avg) are determined. Art.139 Labor Code of the Russian Federation The calculation algorithm is installed:
Srz =Vрп / Nfact, Where:
Vрп– employee income for the pay period.
Nfact– actual shifts worked by the employee.
The billing period is 12 months preceding the month of layoff. For example, if the dismissal occurred in February 2018, then the period of time from 02/01/2017 to 01/31/2018 will be taken for calculation.
The indicators do not take into account the time spent on vacation or sick leave, as well as their payment.
The second stage - the amount of severance pay due to the issue is calculated.
Pvyh=Srz * Nworking shifts, Where
Nworking shifts– the number of working days in 1-3 months after dismissal.
REFERENCE! Wages for partial months are calculated in proportion to the days worked.
Example:
Petrov N.A. worked in the company for 2 years. By official order it was reduced from 01/01/2017. On January 9, he registered with the employment service. As of April 1, 2017, Petrov remains unemployed.
He worked on a standard five-day working week. According to production calendar for 2016, the number of work shifts was 247, of which he was on vacation from July 1 to July 28. Monthly earnings were constant and amounted to 30,000 rubles.
The procedure for calculating severance pay upon dismissal due to staff reduction:
Actual shifts worked in 2016: 247 – 19 = 228 Srz for the period from 01/01/2016 to 12/31/2016: = 331428.57 / 228 = 1453.63 rubles. Amount for January 2017: 1453.63 * 17 = 24711.71 For February: 1453.63 * 18 = 26165.34 For March: 1453.63 * 22 = 31979.86
Payment of severance pay Petrov is due for January even if he is employed. If he had found a new job in February or March, compensation would have been calculated in proportion to the days of unemployment.
For individual categories
Depending on the nature and conditions of work, the amount of compensation varies. Some categories of employees often face the fact that they are denied severance pay when staffing is reduced. However, the provisions of the Labor Code of the Russian Federation protect their interests.
For pensioners
A person receiving a pension is dismissed with the same rights as an ordinary employee. Pensioner status, position, skill level, length of service and age do not affect the amount of severance pay upon reduction.
The issue of issuing a third benefit to a pensioner is controversial. On the one hand, it is provided on a general basis. On the other hand, a pensioner is considered a socially protected person and cannot be called unemployed. If there are significant facts, the employment center can issue a certificate on the basis of which the third payment will be made.
Part-timers
Severance pay upon dismissal is paid in the same manner as to main employees. However, preservation of average monthly earnings in the second and third months is no longer provided.
If an employee working part-time quits his main job before the layoff, which is confirmed by an entry in the work book, he has the right to receive payment for these months.
Seasonal worker
A seasonal worker is notified of planned dismissal 7 days in advance. Severance pay in case of layoffs is paid according to Art. 296 Labor Code of the Russian Federation in the amount of average wages for two weeks. Other types financial assistance This category is not provided.
Residents of the Far North and areas equated to them
Northerners apply for redundancy benefits for 4-6 months at the request of specialists from the employment service, if they apply there within 30 days after dismissal.
Additional compensation
Payment of severance pay is not the only financial assistance to employees due to staff reduction. Depending on the situation, additional financial support is assigned.
For early dismissal
Employees are warned about layoffs two months in advance, but sometimes it is necessary to terminate the employment relationship early. The Code provides for early dismissal due to staff reduction, but only by agreement of the parties and with the accrual of compensation payments.
Its purpose is to compensate for lost income for the period during which the employee could have continued working. The size directly depends on the number of days between the dates of early and official termination labor relations. An agreement or other documentation of the organization may establish increasing coefficients.
There are benefits to laying off early. Firstly, the dismissed employee receives additional compensation. Secondly, the period for searching for a new job is increasing.
Payment of the 13th salary upon layoff
In many organizations, at the end of the year, special kind bonuses - 13th salary. If the provision on it is officially established, when an employee is laid off, it is also issued. It does not matter in what month the dismissal occurred. Required condition– work experience in the workplace for at least one year.
Sick leave payment
A redundant employee has the right to. Basic conditions:
- the citizen fell ill before the official day of dismissal. The amount of payment depends on the insurance period and average salary;
- sick leave received within 30 days after layoff. The benefit is equal to 60% of average pay labor over the past two years. If a citizen is registered with the employment service, it is equivalent to unemployment benefits.
- a certificate of incapacity for work was issued to a pregnant woman who was officially recognized as unemployed within a year after dismissal.
REFERENCE! Payment of sick leave is not a basis for refusing to issue other payments for dismissal due to staff reduction.
Early retirement
Based Art. 32 Law of the Russian Federation “On employment of the population in Russian Federation" dated 04/19/1991, a citizen has the right to apply for an early pension subject to the following conditions:
- Insurance (work experience) of at least 25 years for men and 20 years for women.
- The age of the employee who has been laid off is 2 years less than the established retirement age. The rule also applies to citizens entitled to a preferential pension.
- Reasonable lack of employment opportunity for a new job. Confirmed by the employment center.
Early pension is assigned only with the consent of the citizen and is paid from budget funds. Upon employment or official retirement, payments stop.
How to receive payment
A staff reduction carried out in accordance with all the rules is a guarantee of receiving severance pay. The employee is advised to carefully study all documents that he signs and become familiar with labor legislation in order to prevent violation of their rights.
Decor
The employer's accounting department handles the registration and calculation of redundancy compensation and other charges. The benefit is paid on the basis of an order indicating its amount and the reason for dismissal. A corresponding entry is made in the work book with reference to article of the Labor Code of the Russian Federation.
Where are they paid?
All due payments dismissal due to staff reduction is carried out by the former employer. However, to receive benefits for the third month, a citizen must contact the employment center and obtain a certificate confirming the absence of work. The document is submitted to the accounting department, and only after that compensation for the third month is calculated.
REFERENCE! Payment of sick leave after layoff is carried out by the Social Insurance Fund.
Pregnant women receive maternity payments through the employment center in accordance with By Order of the Ministry of Health and Social Development dated December 23, 2009 No. 1012n.
What is the time frame for calculations?
On the last work shift (day of dismissal ), according to Art. 140 Labor Code of the Russian Federation, pay: salary with vacation pay and first benefit. If the employee did not work on that day, payment is made after receiving the request for payment no later than the next day.
IMPORTANT! If on the day of layoff the employee is absent without a justified reason, the employer has the right to reconsider the terms of layoff.
The timing of payments of the second and third severance pay in the event of a reduction is agreed upon by both parties.
Liability for non-payment
Delays in issuing compensation or incorrect accrual (less than required) are considered as non-compliance with standards labor law. In this case, the employee must adhere to the following action plan:
- Submit a written claim about the violation of your legal rights to the manager and the trade union of the organization against signature.
- Write a complaint to Labor inspection on the inaction of the boss or violation of the deadlines for eliminating the problem.
- Contact the prosecutor's office with a request to check the legality of the employer's actions.
- File a claim with the arbitration court if other authorities have refused to consider the case or if no problems have been found.
If any violations are detected, the employer can be held financially liable according to Art. 236 Labor Code of the Russian Federation.
Severance pay in case of staff reduction is financial support for involuntary unemployment. The receipt and procedure for payments are established by labor standards in force in Russia. Along with mandatory financial assistance, the employee receives cash for the time worked. At the request of the employer, additional compensation is provided.