Prud'hommes: what is the lump sum conciliation allowance?
Verified 03 June 2021 - Directorate for Legal and Administrative Information (Prime Minister)
When the employee challenges his dismissal to the Labor Council (CPH), he can terminate the dispute as soon as the conciliation procedure, in agreement with the company that dismissed him.
The laid-off employee then receives a called sum lump-sum conciliation allowance.
The amount of this allowance is calculated on the basis of the gross remuneration received by the employee. The amount shall be determined by taking into account a scale, established under the following conditions:
Employee's seniority | Amount of compensation |
|---|---|
Less than 1 year | 2 months salary |
Between 1 year and less than 8 years | 3 months of salary for 1 year, plus an additional 1 month per year of service |
Between 8 years and under 12 years | 10 months salary |
Between 12 and under 15 | 12 months salary |
Between 15 and under 19 | 14 months salary |
Between 19 and under 23 | 16 months salary |
Between 23 and under 26 | 18 months salary |
Between 26 and under 30 | 20 months salary |
30 years or older | 24 months salary |
This scale applies only if the dispute concerns the dismissal of the employee. It shall not apply where the hearing is referred back to the court of law of the CPH, in the absence of agreement between the Parties.
Please note
the lump sum conciliation allowance is added to the compensation payable to the employee (severance pay, compensatory allowances of paid leave and notice, contractual indemnity of non-competition ...).