Devaluation of employment guarantees: the reduced control of unilateral decision of the employer

Abstract

The 2010 and 2012 reforms have deeply changed the rules on employment protection. The combined effect of both reforms consists of a reduction in the guarantees of workers, who are now much more exposed to terminations of contracts, fair or unfair. Regarding disciplinary dismissal, the new legislation have eased unfair dismissal, through a series of changes that, broadly speaking, reduce compensation and encourage companies to opt for the termination of the contract and not for reinstatement. With regard to dismissal for economic, technical, organizational or production reasons, the novelties have consisted in reducing their intensity and in removing very varied procedural guarantees. In this article, a critical commentary on both reforms is developed, focusing on the period between 2010 and 2019.