(1)
• (a) In the event of any change in the legal statuts of the
employers, in particular through succession, sale,
amalgamation, financial reorganization, or transformation
into a partnership or company, all contracts of employment
in force on the date of the change shall subsist between the
new organization and the personnel of the undertaking.
They shall be terminable only in the manner and subject to
the conditions laid down in this Part.
• (b) The provisions of the above paragraph shall not be
applicable :
o - where the enterprise is changing its activities ;
o - where the workers express before the Labour
Inspector of the area, their desire to be laid off with
payment of their benefits, prior to such change.
• (c) The closure of the undertaking other than in cases of
"force majeure" shall not absolve the employer from his
obligation to observe the rules laid down in this part. Neither
bankruptcy nor liquidation by court order shall be deemed to
be a case of "force majeure".
(2) The contract of employment, may, while still in force, be
amended on the initiative of either party.
• (a) Where the amendment suggested by the employer is
substantial and is rejected by the worker, the termination of
the contract that may result therefrom shall be the
responsibility of the employer. Such termination shall be
wrongful only where it is not justified by the interest of the
undertaking.
• (b) Where the amendment suggested by the worker is
substantial and is rejected by the employer, the contract
may be terminated only following the resignation of the
worker.
Official text
Spot-checked
In force from 14 August 1992
Source page 21