Employees are temporarily absent, what should you take into account?
There are voluntary reasons for taking a career break (unpaid leave, sabbatical, family leave) and involuntary reasons (illness, accident). What obligations does the employer have in such situations? There are duties prescribed by law, such as certain duties to inform the employee or notify insurers. Responsible employers can go one step further by advising affected employees of situations even where there is no legal obligation to do so - or helping them to recognise and avoid any gaps that may arise. Employer interests should not be neglected either. This is true whether it’s a longer absence as described under ‘Involuntary breaks in employment’ or a clearly agreed arrangement for ‘Voluntary breaks in employment’ or breaks offered by the employer.
We offer guidance towards effective solutions.
Voluntary breaks in employment
It’s usually the employee who requests a temporary break from work. It is advisable to define the conditions in advance so that there are no mismatches in expectations. Questions need to be clarified as to whether the break can be terminated and within which period, the purpose and use of the time off, which rights and obligations are suspended and which continue, salary entitlement and calculation of annual remuneration, holiday entitlement, crediting of time off to years of service and social insurance coverage. With regard to the last point in particular, the employer may have the same duty to provide information as if the employee were leaving the company.
Even if it involves some effort, giving an employee the opportunity to take time out, and working out a good solution together, can strengthen trust and loyalty in the long term. We support you in this process.
Involuntary breaks in employment
In most cases, involuntary absences are caused by an incapacity to work due to an accident or illness. In many cases, daily allowance insurance covers part of the financial loss. However, if the absence lasts a longer period of time, various tough questions arrive that can prove time-consuming, legally complex and, not least, emotionally draining. Incidentally, long-term absences, especially for mental health reasons, have been increasing dramatically for years.
- I don’t know how long the absence will last, how can I plan?
- When is it permissible to terminate an employment contract?
- How long are daily allowances paid?
- The insurance company is demanding an early detection process, and is threatening to stop the daily allowance, what should I do?
- When, and how, should the disability insurance organisation be contacted?
- The disability insurance organisation has sent a pension ruling, what does this mean?
- When do I have to inform the pension fund?
- What does the long period of absence mean for my employee?
We provide answers and support you with the necessary processes.
Tip: Make sure you have good pension provision before you need it. Good risk provision does not have to be expensive, but should protect employees in a targeted manner. We show you how.