Are you going to resign? Know your rights and duties

Changes in life dynamics or professional reasons such as stagnation, demotivation or finding a better job opportunity. There are various reasons why an employee may voluntarily end an employment contract. Portuguese law provides for this type of situation, even when there is no just cause leading to such an outcome.
Although this situation does not include any compensation on the part of the employer nor the possibility of registration with the Employment Centre for the purposes of unemployment benefit, it is important to comply with a series of procedures to guarantee all the accounts arising from what we call Dismissal of the Employment Contract by the Employee. 

THE NEED FOR PRIOR NOTICE

Before leaving a company, the employee must inform the employer of his intention in advance. This prior notice serves to give the company time to find a replacement for the position that will become vacant and thus avoid possible productive impacts arising from this sudden change in the workforce. According to article 400 of the Portuguese Labor Law, the minimum period for this notice varies according to the type of existing contract. Which is your case?

15 days' notice

Fixed-term contracts less than 6 months
Contracts with an unspecified term less than 6 months 

30 days’ notice

Permanent contracts up to 2 years seniority Term contracts with more than 6 months
Contracts with unspecified duration more than 6 months 

60 days' notice

Permanent contracts with more than 2 years seniority
Make sure you comply with these deadlines to avoid future legal problems both for you and for the company.

WHAT IF I DO NOT GIVE THE NOTICE?

The lack of previous notice will oblige the worker to indemnify the employer. The amount of the indemnity will be equal to the base salary and seniority, corresponding to the notice period missed. In practice this means, for example, that if the employee has 30 days’ notice to comply with and only complies with 15 days, he will lose the equivalent of half a salary. 

VALUES TO BE RECEIVED BY THE WORKER

When the employment contract is end voluntarily, the employee is entitled to the values resulting from the settlements, as is the case of proportional holidays or training hours, for example. Therefore, take note of what is owed to you in this situation:

• Unused holiday days (holiday due on 1st January);
• Proportional holidays, referring to the year of termination;
• Holiday pay corresponding to holidays accrued and not taken;
• Proportional holiday subsidy, regarding the year of cessation;
• Proportional Christmas subsidy, for the year of cessation;
• Training hours, when applicable. 

HOW TO SIMULATE THE AMOUNT TO BE RECEIVED?

If you want some extra help in calculating the amount you will receive, you can use the simulator on the site of the Authority for Working Conditions (ACT). This is a free tool, available to any citizen, allowing you to calculate an estimate of the amount you will receive at the end of your employment contract. You only need to fill in all the information relating to your contract to simulate the amount you will receive at the end of your employment contract. Please note that this simulation is only an estimate and has no legal value. If you need further clarification about your rights, you can and should contact ACT and ask for help. 

I'VE RESIGNED MY JOB, NOW WHAT?

Changing jobs is natural and is part of our growth as professionals. If you have taken the decision to terminate your contract without having a second option up your sleeve, it is possibly because you were not satisfied with the direction of your professional life. Now is the time to rethink your path and investigate new career possibilities that will bring you greater professional fulfilment. Fed Finance can help you take control of your professional future. If you are a finance or accounting professional, with our support you will find specialized guidance within this field. Contact us to get all the necessary support.