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Work is not just a source of livelihood, but also a significant part of our identity and life. Proper employment relations are the foundation for job security, economic stability, and professional prosperity. However, what happens when these relations are violated and the employer unilaterally changes your employment conditions for the worse? In such a situation, you may be in a state of worsening employment conditions. The term "worsening conditions" appears in Section 11(a) of the Severance Pay Law, and it provides you, the workers, with an important protection mechanism:

In case of substantial worsening of your employment conditions, your resignation will not be considered a regular resignation, but as dismissal for all intents and purposes, entitling you to full rights, primarily severance pay. To realize this right, you must act correctly and precisely, and usually there is a need for consultation with an experienced attorney specializing in worsening conditions.

This guide from LawReviews is designed to provide you with a comprehensive understanding of your rights and the correct course of action in situations of worsening conditions.

What is Considered Worsening of Employment Conditions?

For a change in working conditions to be defined as "substantial worsening," it must be significant and not marginal, such that a reasonable employee cannot be expected to continue working under these conditions. The definition of worsening conditions is not absolute and depends on the specific circumstances of each case. However, there are several common cases that labor courts view as substantial worsening of conditions.

Damage to Salary and Related Conditions:

  • Unilateral salary reduction: This is one of the most prominent and common cases of worsening conditions. The employer is not permitted to reduce your salary without your explicit and written consent. Such a reduction, even if seemingly "justified" for the company's economic reasons, constitutes grounds for resignation with severance rights. This also applies to changing the salary calculation method (for example, transitioning from monthly to hourly pay) or canceling bonuses and incentives that were part of the employment terms.
  • Salary delays (regular and systematic delay in salary payment): The Wage Protection Law explicitly states that salary must be paid on time. Repeated delays in salary payment are considered clear worsening of conditions, as they harm the employee's ability to manage their household and meet financial obligations. Even if the salary is eventually paid in full, the damage caused by systematic delays justifies resignation.
  • Non-payment of social benefits: The employer is legally obligated to contribute funds for employees' pension, continuing education fund, recuperation pay, vacation pay, and more. Regular failure to contribute these funds constitutes worsening of employment conditions, as it damages the employee's pension and future rights.
  • Reduction of working hours: When dealing with monthly salaried employees, unilateral reduction of position scope constitutes direct damage to salary, and therefore is considered worsening of conditions. In some cases, even hourly employees whose work was drastically reduced can claim worsening conditions.

Substantial Change in Position or Work Environment:

  • Drastic change in job description or status: An employee who was transferred to a lower position or whose areas of responsibility and authority were significantly reduced can claim that worsening of conditions occurred. This also applies to an employee who received a demotion, as this constitutes damage to their professional status and future advancement opportunities. Labor courts examine in such cases whether this is a reasonable change of position as part of organizational development, or an intentional change designed to push the employee out.
  • Transfer of workplace: Geographic change of workplace, especially if it causes a significant increase in travel time or costs, can constitute worsening of conditions. The employer is not permitted to demand your agreement to such a change without appropriate compensation or prior consent.
  • Significant change in working hours or working days: Employees who were accustomed to working fixed hours or on certain days, and whose schedule was unilaterally changed (for example, transition to shift work or night work), can claim worsening of conditions.

Humiliating or Hostile Treatment from the Employer:

Workplace bullying and harassment, hostile, humiliating, or alienating treatment by the employer or other managers toward an employee, including shouting, humiliation, threats, or harassment of any kind, can be considered substantial worsening of conditions. Dealing with a hostile work environment is unbearable and an employee should not be expected to endure it. Labor courts recognize the need for workers to have a safe and respectful work environment.

It's important to remember that not every change constitutes worsening of conditions. For example, subjective disagreement with a management decision or marginal changes in the workplace usually will not be considered substantial worsening. The test is objective: could a reasonable employee have continued to work under the conditions presented to them?

Additional Examples of Worsening Conditions Situations

To better understand the concept, here are some concrete examples of cases that labor courts have addressed as worsening conditions:

  • Cancellation of benefits and perks: An employee whose employment contract promised a company car, mobile phone, or any other benefit, and the employer canceled it unilaterally and without compensation, can claim worsening conditions. Another example is canceling executive insurance or employer participation in health insurance costs, if these were part of the initial terms.
  • Forced unpaid work stoppage: If the employer puts the employee on forced leave or prevents them from coming to work without their consent and payment, this constitutes worsening conditions. This situation can occur when the employer tries to push the employee to resign without formally dismissing them.
  • Transfer to a position that doesn't match the employee's skills: An employee who was employed in a professional position and is required to perform tasks that don't match their education or experience can claim worsening conditions. For example, a software engineer transferred to a sales position, or a team manager demoted to a subordinate position, without justified professional or business reasons.
  • Systematic ignoring of employee requests: If an employee repeatedly requests to receive their rights (such as recuperation payments, pension contributions) and the employer ignores their requests, this can be considered hostile behavior constituting worsening conditions.
  • Changing work conditions abnormally due to illness or pregnancy: In cases where the employer discriminates against an employee due to health reasons or pregnancy, through reducing hours, position demotion, or other changes, this will be considered worsening conditions and even a violation of equal opportunity laws.

The Correct Steps in Case of Worsening Conditions

When you identify worsening conditions in your work, don't act hastily. You must take several critical steps to preserve your rights:

Step 1: Evidence Collection

The first step is to collect objective and reliable evidence indicating the worsening. Gather documents, pay stubs, email messages, text messages, or any other documentation that can prove your claims. This documentation is critical if you need to prove your claims in labor court.

Step 2: Written Warning to the Employer

This is one of the most important steps. You must prove that you gave the employer an opportunity to correct the worsening. Send them a registered letter or detailed email message in which you warn about worsening conditions and request them to restore the situation within a reasonable time. The letter should detail exactly what worsening occurred and when. If the employer doesn't act to correct the deficiencies, this will strengthen your claim in court. In some cases, a warning letter is not necessary, for example when it's clear the employer doesn't intend to change the situation, but it's always recommended to consult with a labor law attorney.

Step 3: Resignation and Filing a Claim

If the employer didn't correct the worsening, you can resign from your job. It's important to clarify in the resignation letter that it's being done due to worsening conditions. If the employer refuses to pay the severance compensation due to you, you'll need to file a claim with the labor court. Here, guidance from an attorney specializing in worsening conditions is essential. They can draft the claim, present evidence convincingly, and represent you before the court.

Your Rights as Workers in Case of Worsening Conditions

In cases of worsening employment conditions, a resigning employee is entitled to a series of rights due to them by law.

  1. Full severance pay: This is the central right. Your resignation is considered dismissal, and therefore you are entitled to full severance pay as if you were dismissed, subject to seniority of one year or more.
  2. Unemployment benefits: Since your resignation is recognized as "resignation with dismissal rights," you are entitled to unemployment benefits from the National Insurance Institute, without a waiting period, subject to general eligibility conditions.
  3. Advance notice: Unlike dismissal, in resignation due to worsening conditions, you are still required to give the employer advance notice. The attorney can detail the length of the advance notice period according to your seniority.
  4. Additional social rights: In many cases of worsening conditions, the employer doesn't contribute social funds or pay rights such as recuperation pay or vacation. In the claim, you can demand payment of all contributions and rights that the employer didn't pay throughout the employment period.

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Frequently Asked Questions

What is considered deterioration of working conditions?

Deterioration of working conditions is a unilateral and material change in an employee's employment terms by the employer without their consent. These changes can be financial (salary reduction, payment delays) or functional (job change, degrading treatment), and they constitute grounds for resignation with cause.

Is demotion considered deterioration of conditions?

Yes. Usually, demotion is considered a material change in role and damage to the employee's status, therefore it can be considered as material deterioration of conditions.

Is changing the workplace considered deterioration of conditions?

Changing the workplace can be considered deterioration of conditions, especially if it causes a significant increase in travel time or transportation costs for the employee, all without their consent.

What should I do before resigning due to deterioration of conditions?

Before resigning, you must notify the employer in writing that your working conditions have deteriorated and allow them reasonable time to correct the situation. If you don't do this, your right to severance pay may be compromised.

Is legal representation needed in deterioration of conditions proceedings?

Highly recommended. A deterioration of conditions claim is a complex legal procedure requiring familiarity with labor court rulings. An employment law attorney will help you gather required evidence, draft warning and resignation letters, and represent you in court to maximize your rights.

Am I entitled to severance pay if I resigned due to deterioration of conditions?

Yes. If you resigned for a justified reason of deterioration of conditions, the resignation is considered dismissal and you are entitled to full severance pay, subject to at least one year of seniority.

Am I entitled to unemployment benefits in case of deterioration of conditions?

Yes. Since resignation due to deterioration of conditions is legally considered dismissal, employees are entitled to unemployment benefits from the National Insurance Institute without a waiting period, subject to general eligibility conditions.

Is delay in salary payment considered deterioration of conditions?

Yes. Salary delays, especially repeated delays in salary payment, are considered material deterioration of conditions and even a violation of the wage protection law.

What happens if the employer corrects the deterioration after I sent a warning letter?

In this situation, your resignation may not be considered resignation with cause, since the employer acted to correct the deterioration. Therefore, it's important to consult with an employment law attorney to know what constitutes deterioration of working conditions and how to act in such a case.

Is there a statute of limitations on deterioration of conditions claim?

Yes. Employment law claims are subject to limitation periods, usually seven years from when the cause of action arose. However, there are exceptions and different limitation periods for various salary components. Therefore, it's recommended not to delay and consult with an attorney as soon as possible.

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