If your employment relationship has terminated and you disagree with the employer concerning the termination or other related matters, you may dispute the termination of employment. Temporary layoffs can also be disputed. Such a dispute may be resolved by mutual agreement or in a court of law. If the termination or temporary layoff is found to have been unlawful, the employer may be required to pay you damages, unpaid pay or other compensation.
If you suspect that your employment has been unlawfully terminated or that there are no grounds for a temporary layoff, you may seek help from your union in disputing the case.
The solution to such a dispute may be a conciliated agreement or a decision by a court. If it is concluded in a court decision or in an agreement between the parties that your employment was in fact unlawfully terminated, the employer can be required to pay you damages or other compensation. Damages or compensation of that nature do not affect the time of payment or amount of the earnings-related unemployment allowance paid by the unemployment fund.
If you have received a daily allowance from the unemployment fund and you are paid damages, the daily allowance and damages will be reconciled in accordance with the Employment Contracts Act. This means that the part of the damages calculated based on the earnings-related unemployment allowance received will be paid to the Employment Fund and the rest will be paid to you. More information on reconciliation can be found on the Employment Fund’s website.
Sometimes disputes are settled without ruling on the legality of the termination but the employee is nevertheless paid a settlement. Such compensation is considered to be related to the termination of the employment relationship and will be periodised as of the end of the employment relationship.
If you have disputed the termination of your employment, you must notify the KOKO fund. Once the dispute has been resolved, submit a copy of the agreement or court decision to KOKO. It is up to KOKO to determine whether your financial gain, if any, is to be considered damages or a benefit subject to periodisation.