Please note: In order to bring the 120-Day Rule into operation, your employees have to be employed under the Salaried Employees Act, and this specific paragraph must be expressly stated in the employment contract.
The rule gives the employer the right to, under certain circumstances, make an employee redundant with one month’s notice due to illness, in spite of other agreed terms of termination, if the employee has been sick for 120 days within a year.
Recent verdicts have clarified the outer limits of when a termination of employment after the 120-Day Rule fulfill the conditions of the rule.
An example is the Danish High Court’s verdict from 15 September 2011: Termination of employment after 130 days of illness did not fulfill the 120-Day Rule. The employer should have made the employee redundant after 120 days; 130 days exceeded the time limit.
Another High Court’s verdict of 30 January 2014: The Court found that termination of employment only can happen when the 120th day of illness has passed, never earlier.
These two verdicts define the timespan within which termination with shortened notice can happen.