Termination by the employer in Uzbekistan: grounds and procedure
The six grounds of Article 161 of the Labour Code, notice periods, severance pay and what to check so that a court does not reinstate the employee
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Under the Labour Code of Uzbekistan, termination of an employment contract at the employer's initiative must be justified — that is, based on one of the grounds expressly listed in the law (Art. 161). In a dispute the burden of proving that the dismissal was lawful lies with the employer (Art. 174), so every dismissal has to be documented: ground, procedure, deadlines, settlement.
Below are the grounds, the prohibitions and the procedure for each case. The article is for employers and accountants who issue the order and make the final payment.
Grounds for dismissal under Article 161
The law contains a closed list. Dismissal on grounds not provided for by the Code or other laws is prohibited (Art. 163).
- liquidation of the organisation or its separate division, or an IE ceasing business;
- a change in headcount or staffing caused by changes in technology, organisation of production and work, or a reduction in the volume of work;
- the employee's unsuitability for the position or work due to insufficient qualifications;
- systematic breach of duties — a repeated disciplinary offence within a year of the previous penalty;
- a single gross breach of duties;
- other grounds established by the Code and other laws.
When dismissal is not allowed
Article 163 prohibits termination at the employer's initiative during sick leave and statutory leave, while the employee performs state or public duties, during a business trip, and without observing the guarantees for pregnant women and employees with a child under three. These restrictions do not apply only on liquidation of the organisation or when an IE ceases business.
If a collective agreement requires the consent of the trade union committee, dismissal without it is not allowed. The committee replies in writing within ten days; if it stays silent, the employer may dismiss without consent. Once consent is given, the contract must be terminated within one month (Art. 164).
Redundancy and unsuitability for the position
Before dismissing under items 2 and 3 of Article 161, the employer must first offer a transfer (Art. 144): in redundancy — to work matching the employee's specialty and qualifications or, failing that, other available work; for insufficient qualifications — to less qualified work in the same specialty. If only temporary work exists, a transfer under a fixed-term contract is offered. Dismissal is possible only if the employee refuses, there are no vacancies or a transfer is impossible.
In redundancy the preferential right to retain the job applies: employees with higher qualifications and productivity are kept first; where these are equal, preference goes, for example, to those with two or more dependants, long service with this employer, or persons with disabilities (Art. 167).
- Notice against signature — at least two months for liquidation and redundancy (Art. 165).
- At least two weeks — for unsuitability due to insufficient qualifications.
- The notice period may be replaced with monetary compensation of equivalent length.
- During the notice period the employee may take at least one paid day off per week to look for work (except dismissal for misconduct).
Disciplinary dismissal: absenteeism and other breaches
Dismissal for misconduct is a disciplinary penalty, so the procedure of Articles 312–314 applies. The Code itself does not list single gross breaches that justify dismissal: the list is set by the internal labour regulations, the employment contract (for the head) or disciplinary statutes (Art. 162). Dismissal for absenteeism is therefore lawful only if absenteeism is expressly included in such a list at the employer.
Notice of termination for misconduct — at least three days (Art. 165).
- Request a written explanation before the penalty; a refusal is recorded in a statement signed by witnesses (Art. 313).
- One offence — one penalty; severity, circumstances and prior work are taken into account.
- The order stating the reasons is announced against signature within three working days; an employee not acquainted with the order is deemed to have no penalty.
- Deadline — no later than one month after discovery and six months after the offence, or two years where it is found by an inspection or audit (Art. 314).
Order, settlement and severance pay
Dismissal is formalised by an order stating the ground in the exact wording of the article (item) of the Code with a reference to it; for a gross breach — also the item of the internal labour regulations (Art. 170). The day of termination is the last working day.
All amounts are paid on the day of termination: unpaid salary, compensation for unused leave and other entitlements (Art. 172). If the employee did not work that day — within three days of requesting the settlement.
- Severance pay on termination by the employer is always due, except for grounds related to the employee's misconduct (Art. 173).
- The minimum depends on service with this employer: 50% of average monthly earnings — under three years, 75% — three to five, 100% — five to ten, 150% — ten to fifteen, 200% — over fifteen years.
- For dismissal for misconduct, neither collective nor employment contracts may provide for severance or compensation.
Consequences of a mistake
A claim for reinstatement is filed within three months of receiving a copy of the order (Art. 560). If the dismissal is found unlawful, the employee is reinstated and paid for the period of forced absence and additional costs of the appeal; compensation for moral damage cannot be less than average monthly salary. Instead of reinstatement, the court may, at the employee's request, award additional compensation of at least three months' salary (Art. 174).
Let us handle the dismissal without risk
We will check the ground and documents, calculate severance and the final settlement and prepare the order.
Go to the Accounting Services pageFrequently asked questions
Can an employee on sick leave be dismissed?
No, except on liquidation of the organisation or when an IE ceases business (Art. 163 of the Labour Code).
How much notice is required for redundancy?
At least two months, in writing against signature. The period may be replaced with monetary compensation of equivalent length (Art. 165).
Can an employee be dismissed for a single absence?
Yes, if absenteeism is in the list of single gross breaches in the internal labour regulations (Art. 162) and the disciplinary procedure is followed: explanation, order, deadlines (Arts. 313–314).
How much is severance pay?
At least 50–200% of average monthly earnings depending on service with this employer (Art. 173). No severance is paid for dismissal for misconduct.
How long does an employee have to challenge a dismissal?
Three months from receiving a copy of the termination order (Art. 560 of the Labour Code).
See also
- Working-time timesheet: how to keep and store it
- Staffing table: how to prepare and approve it
- Weekend, holiday and night work: pay and paperwork
- Sole founder as director: is an employment contract and salary required
- BCV in Uzbekistan: UZS 440,000 from 1 September 2026
- DipIFR: What the Diploma Is, the Exam and Preparation
Sources
- Трудовой кодекс Республики Узбекистан (ЗРУ-798 от 28.10.2022) — ст. 144, 161–174, 312–314, 560
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