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Extraordinary Termination of Employment by the Employee

Extraordinary termination of an employment contract allows an employee to terminate the employment relationship immediately if the employer has committed a fundamental breach of their obligations. According to § 91 (2) of the Employment Contracts Act (TLS), an employee may terminate the contract for good reason, provided that the continuation of the employment relationship cannot be reasonably expected.

Grounds for Extraordinary Termination

Under Estonian law, an employee may terminate the contract if:

  • Breach of Obligations: The employer has treated the employee in an undignified manner, threatened them, or significantly violated the terms of the contract (e.g., failure to pay wages).
  • Health Risks: Continuing work poses a real threat to the employee's life or health.
  • Long-term Incapacity: The employee is unable to perform their duties due to health reasons, and the employer has failed to provide suitable alternative work.

Formal Requirements

The notice of termination must be submitted in a format that can be reproduced in writing (§ 95 (1) TLS). The statement must clearly specify the reason for the termination. If the termination is due to a breach by the employer, the employee is entitled to compensation under § 100 (4) TLS, which is equivalent to the employee's three months' average wages. A court may adjust this amount based on the specific circumstances of the case.

Important Considerations

An employee must provide notice within a reasonable time after becoming aware of the circumstances justifying the termination. Failure to act promptly may lead the employer to argue that the employee has accepted the breach. It is crucial to document all incidents of misconduct by the employer to support your case.

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