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Mutual Agreement To Terminate Employment
"I need a Mutual Agreement To Terminate Employment under Austrian law for a senior software developer who will be leaving amicably to join a non-competitor, with a termination date of March 1, 2025, including garden leave provisions and a negotiated severance package."
1. Parties: Identification of the employer and employee, including full legal names, addresses, and any relevant registration numbers
2. Background: Brief context of the employment relationship, including start date and current position
3. Definitions: Key terms used in the agreement, including 'Termination Date', 'Final Settlement', etc.
4. Mutual Agreement to Terminate: Clear statement of both parties' agreement to terminate the employment relationship and the effective termination date
5. Final Salary and Benefits: Details of final salary payment, including pro-rated salary, outstanding vacation days, and any other statutory entitlements
6. Severance Payment: Details of any severance payment (Abfertigung) and calculation method
7. Company Property: Provisions for returning company property and documents
8. Confidentiality Obligations: Confirmation of ongoing confidentiality obligations post-employment
9. Mutual Release: Mutual waiver of claims related to the employment relationship
10. Tax and Social Security: Clarification of tax and social security implications of the termination
11. Governing Law: Confirmation that the agreement is governed by Austrian law
12. Signatures: Execution block for both parties
1. Garden Leave: Include when the employee will be placed on garden leave until the termination date
2. Post-termination Restrictions: Include when existing non-compete or non-solicitation clauses need to be addressed
3. Reference Letter: Include when arrangements for providing a reference letter (Dienstzeugnis) need to be specified
4. Benefits Continuation: Include when certain benefits will continue post-termination
5. Works Council Acknowledgment: Include when works council consultation has been required
6. Outstanding Bonus/Commission: Include when there are outstanding variable compensation elements to be addressed
7. Training Cost Repayment Waiver: Include when waiving any training cost repayment obligations
8. Company Housing: Include when company housing arrangements need to be addressed
1. Schedule 1 - Final Settlement Calculation: Detailed calculation of all final payments including salary, severance, and other entitlements
2. Schedule 2 - Company Property List: Itemized list of company property to be returned
3. Schedule 3 - Existing Post-Contractual Obligations: Summary of relevant clauses from the employment contract that survive termination
4. Appendix A - Data Privacy Notice: Information about the handling of employee data post-termination
5. Appendix B - Tax Treatment Summary: Overview of tax treatment of various payment components
Authors
Banking and Financial Services
Technology and Software
Manufacturing
Retail and Consumer Goods
Professional Services
Healthcare
Education
Construction
Telecommunications
Energy and Utilities
Transportation and Logistics
Media and Entertainment
Real Estate
Hospitality and Tourism
Pharmaceutical
Insurance
Automotive
Agriculture
Mining and Resources
Non-Profit Organizations
Human Resources
Legal
Finance
Operations
Administration
Compliance
Employee Relations
Payroll
General Counsel Office
Risk Management
Chief Executive Officer
Managing Director
Human Resources Director
Legal Counsel
Finance Director
Department Manager
Team Leader
Project Manager
Sales Manager
Operations Manager
Technical Lead
Senior Engineer
Marketing Manager
Account Manager
Research Scientist
Administrative Officer
Production Supervisor
Customer Service Manager
Business Development Manager
IT Manager
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