Severance Pay (upon termination of employment after acquiring the right to a pension for insured length of service and age)

A one-time monetary payment owed by the employer to the employee upon termination of the employment contract when the individual has already acquired the right to a pension for insured length of service and age under the Social Insurance Code. According to the Labour Code, the severance pay is equal to two months’ last gross salary, or, if the individual has completed 10 years of employment within the last 20 years with the same employer or within the same group of companies, it amounts to six months’ gross salary.