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29.082014

Indemnity in lieu of the reinstatement entails the final termination of the employment relationship (Il Sole 24 Ore, August 28, 2014, page 33)

Court of Cassation, joined sections, judgment no. 18353 issued on August 27, 2014, stated that the waiver of reinstatement on the workplace (as a consequence of an unlawful dismissal), replaced by the indemnity in lieu (payment of 15 monthly installments), entails the final termination of the employment relationship; therefore, the possible delay of the employer in paying the mentioned indemnity does not entail the continuation of the employment relationship and the obligation of paying the compensation. In the timeframe between the choice of the indemnity in lieu and the real payment, delayed fulfillment is governed by rules on pecuniary credits of the employee (legal interests and monetary appreciation).