Redundancy for economic or organisational reasons: what to do under Georgian law

What to do

1. Deadlines: a request for justification must be made within 30 calendar days of notice, and the reply is due within 7 days (Labour Code, Art. 48). A lawsuit must be filed within 30 calendar days of the justification (Art. 48). If no request was made, the period is 30 calendar days from notice (Art. 48). If the employer does not reply, the burden of proof lies with the employer (Art. 48).
2. Money: notice of 30 calendar days and compensation of not less than 1 month’s salary (Labour Code, Art. 48), or 3 calendar days’ notice and not less than 2 months’ salaries (Art. 48). Compensation for unused leave is also due (Labour Code, Art. 31). The final settlement must be made no later than 7 calendar days after termination (Labour Code, Art. 44).
3. Genuineness: the ground “(a)” is economic, technological or organisational change that makes the redundancy NECESSARY (Labour Code, Art. 47). The employer must prove its objections (Civil Procedure Code, Art. 102). A sham redundancy occurs when a new person is hired into the same position with the same functions.
4. Why this employee: a pregnant employee (from notification) and an employee on maternity leave may not be made redundant (Labour Code, Art. 47). The law does not set an order of retention priority, but choosing employees on a discriminatory basis is prohibited. The burden lies with the employer (Labour Code, Art. 7). A change of the enterprise’s owner is not in itself a ground for redundancy (Labour Code, Art. 50).
5. Mass redundancy: a mass redundancy within 30 days involves at least 10 employees (for a staff of 20–100) or 10% of staff (for more than 100) (Labour Code, Art. 49). The minister and the employees must be notified 45 calendar days in advance, and consultations with the trade union or employee representatives are required (Labour Code, Art. 49).
6. Remedies: reinstatement or compensation (Labour Code, Art. 48), plus compensation for forced absence; compensation already paid is credited against it (Labour Code, Art. 48).
7. Where to apply: court — civil chamber of the district (city) court; Public Defender (discrimination).
8. Evidence: the notice with its date, staff schedules before and after, vacancies and hiring for the same position, compensation payment records, the request for justification.
9. Traps: signing a “mutual agreement” instead of accepting a redundancy; not requesting justification; looking for Russian Labour Code rules (2-month notice, vacancy offers, priority right to retain employment) — the Georgian Labour Code contains none of them.

Be sure to check

• notice and compensation: 30 days plus not less than 1 month’s salary, or 3 days plus not less than 2 months’ salaries; plus unused leave
• deadlines: request for justification — 30 days → reply — 7 days → lawsuit — 30 days
• the redundancy must be genuinely necessary — hiring for the same position indicates a sham; the burden lies with the employer
• remedies: reinstatement or compensation, and compensation for forced absence; special rules for mass dismissal