Employment 2025

RWANDA Law and Practice Contributed by: Aimery de Schoutheete, Valence Rukesha, Chloé Stassart and Isaac Rwapasika, Liedekerke

• salary applicable to each professional category, overtime and its compensation rate, the duration of the probation period and notice; • paid leave, seniority allowance and transport allow - ance; • conditions of modification of all or part of the col - lective bargaining agreement; • methods of dispute resolution; and • commencement of the collective bargaining agree - ment. Parties to the negotiation of a collective bargaining agreement negotiate in good faith. If, in a company, there are representatives of several employees’ organ - isations, they team up to carry on collective negotia - tions. If they fail to do so, the employees’ organisation representing the majority of the employees will lead the negotiations on behalf of the others. Once negoti - ated, the collective bargaining agreement is entered into in writing and signed by the parties. Once signed, the employer must inform all the concerned employ - ees about the collective bargaining agreement. The Rwandan Labour Code states that dismiss - als must be justified by legitimate reasons but does not define such reasons. In practice, employers are required to mention the reasons for dismissal in writ - ing in the notice letter and must be able to prove them in case of legal proceedings. The termination procedure does not differ depend - ing on the reason for termination. However, additional compensation is payable in the event of dismissal for economic reasons or due to the employee’s illness (see below). Termination Formalities Any termination must be notified in writing by the par - ty who takes the initiative, to the other party. Where termination is at the employer’s initiative, the letter of notification must expressly state the reasons for dismissal. There is no motivation regime a posteriori. 7. Termination 7.1 Grounds for Termination Grounds for Termination

The notice period is not required if mutually agreed between the parties. An employer can conduct an administrative inves - tigation against an employee, which could result in the suspension of the contract and potentially lead to dismissal. In such case, the employer can suspend the employee in writing for 30 days without payment, but the employee’s salary is calculated and retained. If, after the investigation, the employee’s innocence is proven, the employer reinstates the employee and pays them all their retained salary. A fixed-term employment contract can be terminat - ed before its term if mutually agreed by the parties or if the party wishing to terminate it has legitimate reasons. Although not specifically mentioned in the Rwandan Labour Code, the party who terminates the fixed-term employment contract before the end of its term will have to comply with the applicable notice period. Termination of an open-ended employment contract without a legitimate reason entitles the employee to damages amounting to between three and six months of net salary, or up to nine months of net salary if the employee has more than ten years’ experience with the same employer or if the employee is an employ - ees’ representative. Any dismissal based on economic reasons, tech - nological transfer or sickness (after a sick leave of six months if they are unable to resume work) for an employee with at least 12 consecutive months of ser - vice, entitles the employee to a termination allowance as follows: • two times the average monthly salary for an employee with less than five years of service with the same employer; • three times the average monthly salary for an employee having between five and ten years of service with the same employer; • four times the average monthly salary for an employee having between ten and 15 years of service with the same employer;

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