An employee whose employment contract is terminated unjustly or without a valid reason is entitled to file a reinstatement lawsuit under job security provisions. However, following recent amendments introduced by the Labor Courts Law No. 7036, the direct litigation procedure was altered, making mandatory mediation a statutory prerequisite before filing a lawsuit.

Under current legislation, the employee must apply to a mediator within 1 month from the date the termination notice is served. This is a strict forfeiture period. If no settlement is reached at the end of the mediation process, a reinstatement lawsuit must be filed before the Labor Court within 2 weeks from the date the final mediation minute is signed.

Conditions for Filing a Reinstatement Lawsuit

To benefit from job security provisions and demand reinstatement, an employee must meet all the following statutory conditions:

  • 1. Subject to the Labor Law or Press Labor Law: The employee's contract must fall under the scope of these specific laws.
  • 2. Employment Under an Indefinite-Term Contract: Fixed-term contracts generally cannot be the subject of a reinstatement lawsuit since they expire automatically at the end of the term. Seasonal workers with indefinite-term contracts, however, retain this right.
  • 3. Minimum Seniority of 6 Months: The employee must have at least 6 months of continuous service with the employer.
  • 4. Workplace with 30 or More Employees: The employer must employ a total of 30 or more workers across all workplaces in the same sector. This threshold includes all fixed-term, indefinite-term, part-time, and seasonal employees.
  • 5. Not Holding an Employer Representative Status: Top-level executives who manage the entire enterprise or have the independent authority to hire and fire personnel cannot file for reinstatement.
  • 6. Termination Without a Valid Reason: The burden of proof lies with the employer to establish that the termination was based on a valid or just cause (e.g., employee capability, conduct, or operational requirements).

Consequences and Legal Procedures of the Lawsuit

If the court rules that the termination is invalid and orders reinstatement, the post-judgment legal process unfolds as follows once the decision is finalized:

  • Application to the Employer: The employee must apply to the employer to resume work within 10 working days following the notification of the finalized court or arbitration decision. Failing to do so validates the initial termination.
  • Idle Time Compensation: Along with reinstatement, the court awards the employee up to 4 months' wages and other entitlements for the period they remained unemployed during the lawsuit.
  • Non-Reinstatement Compensation: Upon receiving a timely application, the employer is obligated to reinstate the employee within 1 month. If the employer refuses, they must pay a non-reinstatement compensation determined by the court, ranging from 4 to 8 months' wages. In such cases, the employment contract is deemed legally terminated at the end of the 1-month refusal period, and severance/notice pays are recalculated based on this new termination date.

Working Elsewhere During Litigation: In accordance with the precedents of the Court of Cassation, an employee taking up another job to earn a living while the reinstatement lawsuit is ongoing does not prejudice their right to file the lawsuit or be reinstated.

Disclaimer: The information provided above is for general guidance purposes only and does not constitute formal legal advice. Consulting a qualified attorney is strongly recommended for specific legal disputes.