KCC 2426/2017

This case involved whether an employee who had signed a settlement agreement for agreed severance pay deserved more. A key point was it was not possible to agree terms less than the mandatory in the labour law.

Background

An employee filed a case against a company before the court. He requested the court to order the company to pay him severance pay He said that the company had failed to do so.

The court dismissed the case.

The employee appealed the ruling before the court of appeal. The court dismissed the appealed ruling and ruled that the company should pay the employee the severance pay.

The company appealed the ruling before the court of cassation. The company said in its grounds of appeal that the ruling had erred in the application of law. The company said that the court had ordered them to pay the severance pay to the employee although the two parties had signed a settlement agreement and that the employee had received the severance pay as a result.

Decision