THE REVISED LABOR LAW /PART 2/
Changed key provisions
- REGULATION ON COLLECTIVE DISMISSAL
The Revised Labor Law regulates the issue of collective dismissals in detail and specifies the conditions to be considered as a collective dismissal.
If an employer: …within 90 days shall be considered as a collective dismissal.
- with 10-50 employees terminating the employment with 5 or more employees,
- with 51-499 employees terminating employment with 10 percent or more of the total number of employees,
- with 51-499 employees terminating the employment with 50 or more employees.
In the event of collective dismissal, the employer must:
1. negotiate with employee representatives to reduce the number of employees to be laid off,
2. to transfer an employee to vacant positions,
3. to create new jobs,
4. to hire in the first place when the number of employee increases, and
5. termination benefits.
In this regard, a new provision in Article 81.5 of the Revised Labor Law requires employers to "hire a person who has been fired in the first place if he / she satisfies the requirements for new jobs and extra positions within 1 year after the collective dismissal."
Furthermore, Article 81.7 of the Revised Labor Law provides that in the event of the liquidation of a commercial entity, organization, branch, or unit, the employee's wage must be paid first from the company's assets.
- SALARY REGULATIONS
Article 104.1 of the Revised Labor Law states that wages shall be paid at least two days a month and the payday shall be reflected in internal labor regulations or employment agreement. The law further stipulates that, if the employer fails to pay the employee on time without a justifiable reason or pays less than the established salary by the law, and employment agreement, the employer shall be liable in accordance with this law, the Law of Mongolia on Infringement, and other relevant laws.
According to the current Labor Law, if an employee who works at night is not given a rest day, the increased salary to be given to the employee shall be regulated by a collective bargaining and employment agreement.
However, according to Article 109.3 of the Revised Labor Law, if an employee who worked at night is not given a rest day, an employee shall receive compensation equal to an increased average salary by 1.2 percent or more.
(To be continued…)
Law on Labor of Mongolia
/Revised edition/