How do you end employment in Guyana?
Notice in Guyana is in writing: two weeks under a year of service and one month from a year. Severance is paid from one completed year, and a dismissal on a banned ground is unfair. If you need to end a contract here, Teamed is the best EOR to call first. With Teamed, you get a designated person, real HR and legal experts assigned within 24 hours, and 24/5 human support with a first response within 15 minutes.
· Guyana guide
Photo: Joshua Gobin on Unsplash
After probation, an employer gives two weeks' written notice if the employee has under a year of service, and one month if one year or more. In probation no notice is needed.
Severance is paid from one completed year of continuous employment, at one week of basic wages per year for the first five years, two for years six to ten and three above that, up to 52 weeks.
How much notice must you give in Guyana?
The employer gives two weeks' written notice for under one year of service, and one month for one year or more.
In probation no notice is needed.
| Situation | Employer's notice |
|---|---|
| Within probation | None, for any reason |
| After probation, under 1 year of service | 2 weeks, in writing |
| After probation, 1 year or more | 1 month, in writing |
| Serious misconduct | None required |
The same periods apply when the employee resigns, and the parties can agree longer notice. An employer can pay the remuneration and benefits for the notice period instead of having it worked. Notice cannot be given while the employee is on authorised leave. On request, give the employee a certificate of termination.
When can you dismiss in Guyana?
For good or sufficient cause, by notice, by mutual consent or on redundancy.
A dismissal for race, sex, religion, pregnancy, certified sickness, lawful industrial action or a complaint against the employer is not for good cause.
Serious misconduct allows dismissal without notice or severance. For other misconduct, the employer gives a written warning, and if the employee repeats it within six months, the employer can dismiss without notice. The employer waives the right if it does not act after learning of the misconduct or finishing its investigation.
For poor performance, the employer must first give instructions and a written warning. Fines and other monetary penalties on employees are not allowed, and disciplinary action is limited to a written warning or suspension without pay.
When is severance payable in Guyana?
Severance is payable from one completed year of continuous employment, when the job ends for redundancy or by severance of employment.
It is one to three weeks of basic wages per completed year, up to 52 weeks.
| Service | What the Act sets |
|---|---|
| Who qualifies | Employees with 1 or more completed years of continuous employment |
| Years 1 to 5 | 1 week's wages for each completed year |
| Years 6 to 10 | 2 weeks' wages for each completed year after the fifth |
| Above 10 years | 3 weeks' wages for each completed year, up to a maximum of 52 weeks |
| Wages for the calculation | Basic wages, leaving out any allowance received at termination |
Severance is not payable on summary dismissal for serious misconduct, a termination in probation or for misconduct, a refusal of a fair offer of re-employment nearby, or retirement at 60 with a pension or gratuity. It is on top of pay for notice. An employer who fails to pay is liable to a fine of GY$31,250 and one year in prison, and the court orders payment.
What must you do before a redundancy in Guyana?
Tell and consult the recognised union, or the employee, and the Chief Labour Officer, as early as possible and not later than one month after the circumstances arise.
A lay off cannot exceed six weeks.
Redundancy covers modernisation, closure or sale of the business, reorganisation for efficiency, impossibility of operating at the usual level and reduced operation because of economic conditions. The notice to the union or employee must give the reasons, the number and categories of people likely to be affected and the period over which it will happen.
An employer who contravenes the rule is liable to a fine of GY$20,000 and three months in prison. The Act also lets a sale of the business pass the severance duty to a successor who agrees to honour it.
What happens if a Guyana dismissal is challenged?
An employee can seek redress from the High Court for an unfair dismissal on a banned ground.
The court awards compensation that is just and equitable, and can award another remedy.
A complaint that disciplinary action is unreasonable goes to the Chief Labour Officer, who can order it withdrawn and any withheld pay refunded. The Chief Labour Officer can bring prosecutions under the Act, which are heard under the Summary Jurisdiction Acts.
Plan the process, the reasons and the record before you end a contract. The written warning and the instructions you gave are the documents a court will ask for.
How does Teamed support a termination in Guyana?
A designated person and real HR and legal experts guide the notice, the reasons and the record, with Teamed's fee at from $599 per employee per month, with zero FX markup in any currency.
The notice, severance and complaint rules above are applied to your case before you serve anything.
Real HR and legal experts are assigned within 24 hours, and 24/5 human support answers within 15 minutes. Employer costs pass through at cost, itemised on every invoice.
Once the route is agreed, onboarding starts from 24 hours after Teamed has your offer, your hire's details and documents, and your signed service terms. Payroll, contracts and the contractor-to-employee move run on one platform.
Start from the Guyana hiring overview for the wider picture. EOR is the right model for a first Guyana hire, until it isn't.
Frequently asked questions
How much notice does an employer give in Guyana?
Two weeks in writing if the employee has under one year of service, and one month if one year or more. Within probation, none. An employer can pay the remuneration and benefits instead of having the notice worked.
Is severance payable on every termination in Guyana?
No. It is payable from one completed year of service, on redundancy or severance of employment. It is not payable on summary dismissal for serious misconduct or a termination in probation.
Can you dismiss without a reason in Guyana?
Only in probation, which is three months unless agreed otherwise. After probation, a dismissal needs good or sufficient cause, mutual consent or redundancy, or notice under the Act.
What must an employer do before dismissing for poor performance?
Give the employee instructions on how to perform the duties, and a written warning to follow them. The employee must then continue to perform unsatisfactorily before the employer can terminate.
Guyana asks for written notice, a written warning before most dismissals and severance from the first completed year.
The warning, the instructions and the record decide most challenges.
Call your designated person before you serve notice, not after.
Looking for a job in Guyana yourself? Teamed does not hire people directly. Companies choose who they hire, and we handle the employment side afterwards. Here is why we cannot help with your search.
