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According to the Cyprus legislation, an employer cannot proceed to the deduction of an employee’s benefits without the prior explicit consent of the latter.
Benefits include the following:
- monthly salary;
- 13th salary;
- annual leave.
If the employee decides to resign of his own accord due to a deduction of a part or of all of his benefits, then he/she may be able to claim compensation for Constructive Dismissal.
What is a constructive dismissal?
In the case of Constructive Dismissal, the employee resigns from his employment of his own accord due to the employer’s unlawful decisions and/or conduct.
A constructive dismissal is treated as unfair termination of employment at the employer’s initiative and the employee may claim compensation at a Labour Disputes Court.
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