The Grand Chamber of the SC on compensation upon dismissal
Can a court reduce the amount of compensation for the delay in payment upon dismissal under the new legislation?
Can a court reduce the amount of compensation for the delay in payment upon dismissal under the new legislation?
Answer provided 03.12.2025 11:47
Yes, the court may reduce the amount of compensation for delayed payment upon dismissal, as the Grand Chamber of the Supreme Court has clarified that such compensation is compensatory, not punitive in nature. When making a decision to reduce the court must take into account the amount of overdue debt, the period of delay, the reasons for this delay and other circumstances of the case, as well as the proportionality of the amount to be collected with the debt owed by the employer
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